Unless we can get a handle on gas prices, we are going to have an uphill battle in the midterms

[melm00se]

15. Gas prices,

despite what the Republicans (when the D's are in control), vice versa and anti-oil conspiracists think, are outside the control of any politician.

This is a worldwide market fed by, essentially, oil auctions and by countries who produce oil. The price is driven by the basics of supply and demand.

What makes this market rife for conspiracists is the fact that there are no real substitutes especially as it relates to vehicles. Yes, there are electric vehicles out there but totally electric vehicles are ~5% of the consumer market (and that number is far far lower when you get into the commercial vehicle market).

Before anyone starts pointing at the "record" profits that oil companies collect, it needs to be understood that profits are calculated by subtracting expenses from revenues.

Revenues = For what the goods or services are sold
Costs = What it costs to produce the goods or services.

The real number to look at is net profit (AKA Net Income) as a percentage of revenue (AKA profit margin).

If the profit margin stays the same and the revenue increases, of course profits will be up but if you look at the financial statements (you know, income statements...those documents that accountants produce?), you will see that while inflation increases revenues, inflation also impacts costs.

I was always told that everyone needs a basic grounding in business and accounting and as a young man I blew that off...but I rapidly learned that to be successful in business you need to know what levers affect what financially. Need to be a CPA? no. Know enough to interpret a balance sheet and income statement? Abso-fricking-lutely.