VIDEO – DESCRIPTION:
On long weekends, and at other times when demand for gasoline increases, gasoline prices often increase. Many politicians jump on this opportunity to allege “collusion” among gasoline companies, and to call prices increases “price gouging”.
On May 17, 2007 – the Thursday prior to the Victoria Day long weekend in Ontario – Ontario’s Progressive Conservatives (PCs) introduced a private members Bill (Bill 228, Gas Prices Notice Act, 2007) which would require gasoline companies to give consumers three days advance notice of any increase in gasoline prices. One day later, PC leader John Tory issued a press release stating he told gasoline companies that they “must” do a better job of “justifying” their prices.
In this episode of FPTV, Freedom Party of Ontario leader Paul McKeever discusses the injustice of calling the proper functioning of the price system “price gouging”, and explains how the PCs bill would actually cause consumers to force gasoline companies to sell fuel below cost: Bill 228 replaces alleged “price gouging” with patently obvious “fuel gouging”. Continue reading »