Connect with us

Hi, what are you looking for?

Business / Economy News

Matt Schellenberg: Biden’s Comments About Gas Prices Show He Has No Grasp on Economics

Over the past weekend, President Joe Biden said gas stations should lower the prices of gasoline $2 a gallon because the cost of a barrel of gas has dropped $15–showing that our president doesn’t understand how the economy works.

In Biden’s world, ignorance is bliss. Free enterprise is lost on him and many progressives.

“The White House is either straight ahead of misdirection or a deep misunderstanding of basic market dynamic,” Jeff Bezos, a man who understands the private sector far better than Biden, posted on Twitter.

Biden clearly needs to brush up on the facts. Almost every gas station–90 percent of them–is owned by individuals or small businesses, not by the big oil companies. As prices at the pump rise, the owners actually lose money. For example, a gas station buys gas for $1.00 and sells it for $1.20. Thanks to inflation, the station has to purchase gas for $1.30. All that being the case, did the station make a profit? Of course not. The cash flow is actually negative.

Raising gas prices work against profit and cash flow. Gas stations don’t make money and improve their cash flow until prices level off or decrease. It’s Economics 101.

With this kind of pronouncement, Biden is acting more like a dictator than a man of the people. Shame on him for not understanding basic economics–but what do we expect from someone who spent far too much time in government and not enough working in the private sector?

Author

  • matt-schellenberg_headshot-200x200jpg.jpg

    Matt Schellenberg was first elected to the Jacksonville City Council back in 2011 and won a second term in 2015. He was term-limited in 2019.

    View all posts

Archives

Related Articles

Political News

Op-Ed by David Williams,  President of the Taxpayers Protection Alliance From job cuts to funding freezes, the National Institutes of Health (NIH) has been...

Political News

In 2022, Democrats and the Biden Administration praised the Inflation Reduction Act (IRA) as the single largest investment in climate and energy in American...

Political News

On his way out, former President Joe Biden rejected the criticism that his administration spent too much money that wasn’t needed. In one of...

Political News

Senator Rick Scott released the below statement following the latest Producer Price Index (PPI) release from the Bureau of Labor Statistics (BLS) highlighting the need to...

Advertisement
Florida Daily
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.

HOW WE COLLECT E-MAIL INFORMATION:

If you sign up to subscribe to Florida Daily’s e-mail newsletter, you will provide us your e-mail address and name, voluntarily, and we will never obtain any of your contact information that you don’t voluntarily provide.

HOW WE USE AN E-MAIL ADDRESS IF YOU VOLUNTARILY PROVIDE IT TO US:

If you voluntarily provide us with your name and email address, we will use it to send you one email update per weekday. Your email address will not be given to any third parties.

YOUR CONTROLS:

You will have the option to unsubscribe to our E-mail update at anytime by clicking an unsubscribe link that will be provided in each E-Mail we send.