Rising Gas Prices

The topic I will talk about is Rising Gas Prices. This is very important because we all need to use gasoline for our cars and other products such as plastic and other common items. If gasoline prices go up, everything that uses petroleum (Crude oil) goes up to. Even items you won't expect. Like fruits. You may think, "if gas prices are going up, why would fruit prices go up?". Well here's an idea. You have to get your fruit from somewhere right? So, to mass transport fruit to your local grocery store, you have to use trucks. And to use trucks, you need to use gasoline! And you may think, "So? Why would that effect the price?". The people that grow the fruit need to make a profit to support their selves and families. Lets say you have 100 dollars to start with. You want to grow some fruit. So you spend 30 dollars on seeds. Then you spend 10 dollars on pesticides, fertilizer etc. So you have 60 dollars left. And you want to sell your fruit. So you get a truck and drive it to the nearest grocery store. 40 dollars for gasoline. Then the store buys your harvest of fruit for 100 dollars. So you gain 20 dollars. If you continue doing this, you have large amounts of money. BUT! What is we increase the price of gasoline by 20 dollars? you would spend all 100 dollars you started with, and gain those 100 back when you sell the fruit. Do you gain anything? No. So, to make a profit, you raise the price of fruit by 20 dollars. So you still gain 20 dollars. If the grocery store buys the fruit for 120 dollars, they sell the fruit to the public for a higher amount, so THEY can make a profit. Thats how fruit prices can go up with gasoline. Thats what happens when we're so dependent on gasoline, it affects every fee in our lives. Thats why its important and signifigant.

Here is a chart to show you the rise of gas prices recently.If this reccession in our economy wouldn't have happened, then we would be a lot more wealthy and ecomomically stable.

-David Ramirez