Money Game

The economy is starting to show signs of a recovery. However not everyone is contributing. Mainly, the large food stories and what they are doing. About a year ago, the food stores basically kept their food prices the same. They did not lower them, some even increased prices. The food stories had their daily sales and newspaper fliers send out every week. But the prices never made a big drop. Now, all the food stores are advertising “thousands of new lower prices” and “we’ve lowered our prices for you”. Why didn’t they lower their prices back a year ago? If they had, we might be in less of a financial mess than we are now.
Same issue with gasoline prices; a year ago the gasoline prices were about $1.75 per gallon. Last month, the price was increased to $3.00 a gallon. Currently, the price is hovering at the $3.00 mark. The pricing is based on a simple economic rule, supply and demand. The gas stations know they have a product people need, why not raise the price and keep raising the price until the demand slows. When the demand slows, just a little bit, drop the price a few pennies. Wait a few weeks and raise it more than when you started. Slowly bump the price up a little bit by bit. Drop it again and then raise it more. It’s a sad game to oil companies play with us. But you need gas to go to work, so you have to spend money to make money.