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64 comments on The Myth of Election Year Price Manipulation

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shah8 on October 8, 2008 - 1:08pm Permalink | Subthread | Parent | Comments top

Manipulation of prices in general have been a feature of post 2002 politics. I mark it at that time, because that was when the stock market became much less prone to price changes more than about 2.5%. Of course, this is changing today...

Anyways, Mr Rapier, my principal objection would be that the price of gasoline is dropping when the actual supply of gasoline has dropped well below normal levels. Normal economics thinking would suggest that people would be bidding up prices as something has gotten scarcer, especially in light of the recent situation in the SE US as compared to other regions of the US.

What I would like to see is gasoline prices and gasoline supply measured together in some form...

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Pitt the Elder on October 8, 2008 - 2:55pm Permalink | Subthread | Parent | Comments top

Manipulation of prices in general have been a feature of post 2002 politics. I mark it at that time, because that was when the stock market became much less prone to price changes more than about 2.5%.

Based on data for daily market volatility, 1998-2002 were quite volatile as the tech bubble inflated and burst, but 1993-1997 were quite stable. At first glance, the data seems to say little more than that stock markets are volatile around economic downturns. That doesn't seem too surprising.

my principal objection would be that the price of gasoline is dropping when the actual supply of gasoline has dropped well below normal levels.

Gasoline supplies are 21 days, same as this time last year.

Moreover, oil prices have dropped about $40/bbl - $1/gal - since their July average; given that, how could gas prices not drop?

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64 comments on The Myth of Election Year Price Manipulation

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