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Why is gas still more expensive in Canada than in the States?

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yvr girl Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Sep-03-05 09:20 AM
Original message
Why is gas still more expensive in Canada than in the States?
The only place I've seen with gas that is more expensive is Atlanta. Do we get any of our supply from the States? I didn't think so.

No wonder we have such a huge budget surplus, the gov't is raking it in with gas taxes.
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chelsea0011 Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Sep-03-05 09:28 AM
Response to Original message
1. I may be wrong but I think your tax is higher. Is this right?
Edited on Sat Sep-03-05 09:29 AM by Feeney2
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yvr girl Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Sep-03-05 10:40 AM
Response to Reply #1
2. It is but
Our prices have skyrocketed this week too - about 20 cents a litre (80 cents a gallon.) That isn't explained by taxes.
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CHIMO Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Sep-03-05 11:12 AM
Response to Reply #2
3. Taxes
Are the first thing to attribute the difference to.

If one takes into account the difference in currency ($1US = $1.19CDN) and the conversion of US gal to L (1L = 0.264US gal) a $0.20 per L equates to $0.64 US per gal increase.

Now on Friday Martin stated that we would be sending additional oil to the US and the only way that this can be done is by reducing Canadian consumption(We don't have any emergency supplies to speak of)(I believe that the decision was taken before Friday). There would be no reason to keep the supplies, as under NAFTA we have to share with the US in any shortage in the US.

So where is the difference in price going? Perhaps that is a good question that the premiers should get around to defend, since they can change things.
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yvr girl Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Sep-03-05 08:12 PM
Response to Reply #3
5. If it wasn't for all the people suffering I would just say
Let's go to arbitration on the sharing issue and then the WTO. Tit for Tat as it were.
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CHIMO Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Sep-03-05 09:11 PM
Response to Reply #5
6. Not Quite Sure
On your statement?

Under a self regulating market economy the goods could be expected to go where the rewards are greatest. So if the US prices are higher then one could expect that the material would migrate towards that market. So Canadian prices would follow the market.

However, Canada has promised to increase oil shipments to the US. So how can that be done without a price increase in Canada to reduce consumption? Thus one can assume that our prices are going to prove a free self regulating market is not correct? Or are supplies in Canada going to be reduced by some magical decision in Ottawa when BC and AB are the producers of the goods? Very confusing indeed. So one can expect that these sort of dollar a year politicians will have the big oil firms ration oil for local consumption which under a free market economy will push up prices.

I think that NAFTA only stipulates that we cannot restrict supplies to Canada, not that the free market doesn't exist. Very confusing.

As to the people suffering I don't know who is suffering? Because the interruption has happened in the Gulf Coast, the shortage is nation wide and continent wide through the market.
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Telly Savalas Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Sep-03-05 02:26 PM
Response to Reply #2
4. The business guy on Breakfast Television said it was price gouging.
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Maple Donating Member (1000+ posts) Send PM | Profile | Ignore Sun Sep-04-05 01:13 AM
Response to Original message
7. Canada buys oil at world price
Same as everyone else.

And we add a tax that goes to municipalities, because they can't survive on just property taxes.

Canada has had a surplus for years, even when the price of gas was low.
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LeftistGorilla Donating Member (583 posts) Send PM | Profile | Ignore Mon Sep-05-05 10:34 AM
Response to Original message
8. I'd imagine because
we send all out oil to the US....
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Spazito Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Sep-05-05 01:43 PM
Response to Original message
9. NAFTA, we are to be sold our own product at the same cost as
Americans pay and, on top of that, we are NOT ALLOWED to reduce the amount exported to the US even if we have a crisis here. How about them apples.
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nine23 Donating Member (1000+ posts) Send PM | Profile | Ignore Tue Sep-06-05 06:50 AM
Response to Reply #9
10. How about THESE apples: NASCAR's still on US prime time TV.
Unbelievably obscene. Americans can't even show a bit of concern over their own sad lot by canceling a few nights of NASCAR, as they did with other sports post-9.11.

Fuck it. I'm moving to Brazil. As I can't find another fucking PLANET to go live on just to get away from these people, I suppose another hemisphere will have to do.

It's not even gas prices that bug me...it's the fucking BACK STORY. (To paraphrase Jon Stewart: "I think my ass hurts") And just for the record: I try to do my bit. I live in the West End of VanCity; I ride my bike whenever/wherever I can, even in the rain (and SkyTrain allows bikes on board); my car can literally go for months without leaving it's underground parking stall...

...AND THESE MOTHERFUCKERS ARE WATCHING NASCAR.
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