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Old August 28th, 2005, 05:26 PM   #1
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Gasoline vs Milk


Ok, the price of a gallon of gasoline has exceeded the cost of a gallon of milk. The 'special' price of Shamrock milk is 2 for $5 according to a Basha's weekly ad.

What I don't understand is why the cost of milk is so high. It's a domestic product, there's plenty of 'production wells' in many varied locations (lowering transportation costs), craking to the final consumer product is fairly low tech and speedy and there is no cartel fixing prices.

So what gives. Is it the evil 'Big Dairy', the hidden Bush milk agenda or the the Else union bosses???



Actually I'm a tad bit tired of the news showing a mom shopping at a dollar store complaining that she's there due to the rising gas costs - a while you can clearly see her cigs in the cart. As I gassed up today, another customer was paying for 3 packs of cigs and a few lottery tickets for $24. The gas costs are high but you have to adjust your spending - there tends to be a lot of wiggle room for most folks...
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Old August 28th, 2005, 05:42 PM   #2
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Quote:
Originally Posted by Derm
The gas costs are high but you have to adjust your spending - there tends to be a lot of wiggle room for most folks...
But that requires responsibility.
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Old August 28th, 2005, 06:16 PM   #3
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Milk costs so much because dairy farmers are protected by the gov't--some sorta somethin' that regulates the price of milk, so that the dairy farmers get enough money. Don't know the details, but that's the Reader's Digest version.
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Old August 28th, 2005, 07:41 PM   #4
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Expect the price of everything to go up! The double gas taxation we face will soon be in effect: We pay for it at the pump and then we pay for it again in the price of groceries and all other services!

The average Joe gets that shaft!
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Old August 28th, 2005, 07:57 PM   #5
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Quote:
Originally Posted by Derm
Ok, the price of a gallon of gasoline has exceeded the cost of a gallon of milk. The 'special' price of Shamrock milk is 2 for $5 according to a Basha's weekly ad.

What I don't understand is why the cost of milk is so high. It's a domestic product, there's plenty of 'production wells' in many varied locations (lowering transportation costs), craking to the final consumer product is fairly low tech and speedy and there is no cartel fixing prices.

So what gives. Is it the evil 'Big Dairy', the hidden Bush milk agenda or the the Else union bosses???



Actually I'm a tad bit tired of the news showing a mom shopping at a dollar store complaining that she's there due to the rising gas costs - a while you can clearly see her cigs in the cart. As I gassed up today, another customer was paying for 3 packs of cigs and a few lottery tickets for $24. The gas costs are high but you have to adjust your spending - there tends to be a lot of wiggle room for most folks...
Yeah, milk is getting as expensive as bottled water.
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Old August 28th, 2005, 08:15 PM   #6
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If you look around you can get milk for $1 - $1.50 or so per gallon. So what if one store has it for $2.50 apiece?

Milk's different from gas in that you can check around and almost always find it much cheaper at another store in the same general area.
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Old August 28th, 2005, 08:32 PM   #7
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Yeah, milk is more expensive than it was a couple years ago, so is bread, so is cheese, so is meat... Need I go on? How do you think those products get to your local Bashas/Frys/Safeway/Albertsons...? They don't actually have a farm in the back where they milk the cows, no matter how fresh or Arizona grown their label says it is. It's driven to those stores by truckers, who have to pay for fuel, which is not cheap, as we are all well aware!

Oh, and btw, we are VERY fortunate here in Arizona when it comes to our grocery stores!!!! They are extremely competitive, which leads to better deals for you and I! In many other states, they have a LOT of little stores that only compete with the store around the corner from them. Here, we have 4 main chain stores that run the same ads state wide. So the Bashas in Queen Creek in essence has to stay competitive with the Safeway in Winslow! This gives us really good sales! Yes, each store's shelf prices are different from one Bashas to the next. That is determined from the area the store is located.

Also, through Tuesday, you can get a 1/2 gallon of milk at either Albertsons or Frys for $1. That makes them only $2/gallon. BUT, at Bashas you get a free gallon for every 5 you buy. So buy it there when it's not on sale anywhere to get one closer to that free gallon. You're gonna buy it somewhere, if you're going to pay full price for it, might as well get something in return!

Ok, I'll get off my soapbox now!
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Old August 28th, 2005, 09:43 PM   #8
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Luckily though, if milk prices get too high, you can buy a cow or a goat.

I have been around cattle enough to know they also give off a lot of gas....hmmm I shall say no more. I don't want to be the guy on the TV commercial that says, "A contraption that fits on a cow's butt that captures farts and converts it into usable fuel for a car...that was MY idea! But I never thought to get a patent."
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Old August 30th, 2005, 12:08 PM   #9
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I typically only buy one gallon of milk and 20 gallons of gas. That's the difference.
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Old August 30th, 2005, 04:11 PM   #10
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Derm...

Where to begin...

#1. Dairy farmers aren't reporting record profits every quarter like oil companies are.

#2. Milk prices wildly fluctuate from store to store because it is a profit item. Meanwhile, gas prices are set by the distributors and most places that sell gas get miminal profit from it. That is why soda, which costs roughly 3 cents to make, costs a $1.09 at the fountain.

#3. One of THE most commonly misunderstood things is that the price of gas here is cheaper than in Europe. This is a fallacy since gas is their big tax item. The core price of gas is cheaper in Europe than it is here.

Taking into account #1 and #2, it is evident that we are victims of the largest price fixing scam of modern times.

Now then, moving onto your cigarettes point...

That is called discretionary income. Discretionary income is used for everything from cigarettes to overpriced sodas to savings and investings.

Discretionary income is the grease of the retail world. If people don't have discretionary income, then stuff isn't bought and the economy suffers.
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Old August 30th, 2005, 04:24 PM   #11
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Quote:
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Derm...

Where to begin...

#1. Dairy farmers aren't reporting record profits every quarter like oil companies are.

#2. Milk prices wildly fluctuate from store to store because it is a profit item. Meanwhile, gas prices are set by the distributors and most places that sell gas get miminal profit from it. That is why soda, which costs roughly 3 cents to make, costs a $1.09 at the fountain.

#3. One of THE most commonly misunderstood things is that the price of gas here is cheaper than in Europe. This is a fallacy since gas is their big tax item. The core price of gas is cheaper in Europe than it is here.


Taking into account #1 and #2, it is evident that we are victims of the largest price fixing scam of modern times.

Now then, moving onto your cigarettes point...

That is called discretionary income. Discretionary income is used for everything from cigarettes to overpriced sodas to savings and investings.

Discretionary income is the grease of the retail world. If people don't have discretionary income, then stuff isn't bought and the economy suffers.
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Old August 31st, 2005, 01:29 AM   #12
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Quote:
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I typically only buy one gallon of milk and 20 gallons of gas. That's the difference.
JPlay, I think that's the point everyone is missing here.
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Old August 31st, 2005, 07:37 AM   #13
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JPlay, I think that's the point everyone is missing here.
I buy 19 gallons of gas every 2 weeks and I buy 5-8 gallons of milk every week. Not even, but a lot closer than most. (My kids can't seem to get enough milk!!!!)
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Old August 31st, 2005, 07:40 AM   #14
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Quote:
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I buy 19 gallons of gas every 2 weeks and I buy 5-8 gallons of milk every week. Not even, but a lot closer than most. (My kids can't seem to get enough milk!!!!)
How big is your back yard?
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Old August 31st, 2005, 09:15 AM   #15
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How big is your back yard?


Everyone should just buy a dair cow... Good point Dback Jon...
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