Another fuel price increase

Posted: April 14, 2012 in Life, Stupidity
Tags: , ,

ANCAP has raised prices on diesel fuel by another 2 pesos (10 cents) per liter, to 36.0 pesos. That’s like getting a 20 cent per gallon price hike. You now pay the equivalent of USD$7.03 per gallon. And it’s crappy fuel; homemade biodiesel contains less BTUs than highway grade diesel, and the crap I make in my garage gives me better fuel economy than the crap I can buy at ANCAP.

 

Comments
  1. ExFedBob says:

    Any sense of how elastic demand is there? My sense is that it must be very low. Anyone who can afford an overpriced car probably doesn’t change their driving habits because of gasoline prices. I have no idea about major industry, but I would speculate that they get to pass a decent chunk of the extra cost onto the government at the regulation/subsidy negotiation table.

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