14526: Durban on 14509: Lyall on gaz (fwd)

[Bob Corbett <corbetre@webster.edu>]

From: Lance Durban <lpdurban@yahoo.com>

Good post, J David Lyalls.  Why the Haitian Government wants to
get involved in gasoline price setting is beyond me.  They
should simply charge an import duty and then let the 4 big
importers compete.  If it appeared that oligopolistic price
fixing was occurring, I'll bet some other "gros neg" would soon
see the profit potential and bring the product in.  If not, the
Haitian gov't could set up a fifth company with (say) 6 big
stations strategically located around, setting retail prices at
a "fair" level after paying the proper import duty to itself.
That would limit oligopolistic price gouging... unless the gov't
found the "profit potential" so attractive is simply joined the
oligopoly.  But, of course, then it would get voted out of
office at the very next election, right?

Lance Durban



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