The price of
Mon ,06/09/2010The price of gas in Europe is more than twice that in U.S., due to higher fuel excise. And in other energy-importing countries like Japan, petrol costs are higher because of fuel transportation costs and taxes. However, some of the major oil-producing countries like Iran and Indonesia provide subsidized gas at low market prices.
Individual gas stations have no control over gas prices, as world markets determine the price. They can charge a margin of between 7 to 11 cents a gallon since gasoline is a commodity, and the gas station that charges more, tends to lose customers to other gas stations. This is the reason gas stations sell higher-margin food products in their convenience stores. It is during the weekends and holidays when American road travel is at its peak that gas prices soar, only to drop as the holidays close.
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