It makes no sense?

Some weeks ago I was in a coffee shop when one of those who has to talk to the whole room was holding forth.  He repeatedly exclaimed “It makes no sense” with regard to gas prices rising after haven fallen so low.

Rather than going over to his table and joining the conversation, I just stayed where I was and kept quiet.

However, in the true free market sense, it does make perfect sense for more than one reason.

First, the number of producers of oil was way up.  When a commodity becomes plentiful the price goes down.  But when the price becomes too low for some to make money, they drop out.  The number of producers drops and the price starts to climb.

Two, traditionally the price of gasoline rises in spring and fall as refiners switch the blends to match the season.

Three, as the price dropped, more people drove more.  As they drove more, the demand for gasoline increased.  As demand increases so does price.  That’s the “free market”.

I don’t know whether this exclaimer was a “liberal” or a “conservative”, but this is the kind of view that some who call themselves “conservative" hold.  These “conservatives” are ready to blame anybody but themselves for almost any problem.

Ironically, these up and down gasoline price movements are one of the few really free markets we have in our “free market” economy.

There are many buyers and sellers.  Many sellers if we limit sellers to those extracting the oil.  It is not so with refiners where we have relative few; one refinery can be producing gasoline for an entire region.

Both buyers and sellers are free to enter and leave the market.  Many drivers can change their driving habits: make fewer trips or use other transportation.  Drillers do turn their rigs off and on and explore more or less.

Both buyers and sellers have all the information they need to make a decision.  For the most part, gasoline is a price-driven commodity.  Despite what the oil companies say, the product is the same from station to station.  For the station, it’s mostly is the credit card good.

All costs are covered by the transaction.  This is where gasoline fails miserably.  We don’t pay for the pollution and global warming caused by our “freedom” to drive when, where, and how much we drive.

I wish more of what happens made as much sense as the ups and downs of the price of gasoline.

Corporate assumptions or is it presumptions?

Based on the credit card I didn't ask for ("Corporate efficiency - unwanted, unreceived new card"), Visa is emailing me certificates for "FreeMonee Gifts".  "These Gifts are matched to your interests, allowing you to shop at hundreds of stores and restaurants."

The current offer is for $5 off for an online order of Omaha Steaks.  Where do they get the idea that I want to buy steaks online?  That I used my previous card at some restaurants?  How would they know I ordered steak?  More likely I had fish or chicken.  But I started a plant-based diet two-months ago; see "Serendipity leads to weight loss".

Allowing me "to shop at hundreds of stores and restaurants"?  Do I need their permission to shop at any of these stores and restaurants?  If I wanted to, would I need their "gift" of five dollars off to do so?  What it really means is enticing me "to shop at hundreds of stores and restaurants" that I might not visit otherwise.  Oh yes, using my credit card so Visa can collect more fees from the hundreds of stores and restaurants.  Adam Smith is correct again about deceiving the public.

What I really use my credit card for is recurring donations or subscriptions so that I don't get caught with an overdraft using my debit card.  I also use it for expenses that I didn't expect, like a big car repair.  Otherwise, I use cash, check, or debit card, preferring the first two because they save local businesses the card fees.

Corporate efficiency - unwanted, unreceived new card

I received a letter from Elan that my Visa card had been upgraded with all these new "super" features, none of which I really needed or wanted.  The letter stated that I should have already received my card and all I needed to do was activate it.

The problem was that I never received the card.  If I did, I might have thrown it out knowingly or unknowingly, but I doubt it.

Then I received an email touting all the benefits of the new card.  That was ten days ago.  I sent email to the local branch manager of the bank that issued the card; she replied she would check on it and asked me to call at the end of the week if I still had not received it.  I did not receive the card by Friday

Today I talked with somebody in the main office of the bank and she said they would request a new card for me and I should have it Wednesday.  Elan would charge a $15 lost card fee but the bank would give me credit for it.

Now I'm going to have to go through all the organizations that I have authorized to debit my credit card automatically and change my account number.  What a nuisance!

So, why did Elan decide I should have something that I didn't ask for?  Are they hoping that the "rewards" offered with the card would induce me to spend more?  I suppose lots of people will be overjoyed to be upgraded.

I guess the upside is that I can use the points to pay on the balance.  The mischievous part of me wants to use it every month.  Let's see, a $100 balance would give me 100 points.  Would that be a dollar, a dime, or a penny?  It reminds me of the people who overpaid charge card bills by one cent because they were not getting any response from the store about a problem.  A clerk processing the checks would notice, but a computer processing thousands of electronic payments would probably not notice.

Well, the computer might notice and send a message to somebody, but since so many companies won't allow spaces in a keyed-in card number, would any take the time to put in such a filter?

Surveillance Allowed Days

In its first 24-hours, "No Surveillance Allowed Days" had only seven page views, fewer than most of my other blog entries.  I guess it is not a very popular idea.  I'll consider keeping to some of its tenets on No Surveillance Allowed Days, but I won't be rigid about it.  Sort of like paying cash for most of what I buy, I'll pay with credit or debit card when it is more convenient.

I should have known better.  "No Surveillance Allowed Days" had as much chance of success as my attempt to get 90% voter turnout or better at every election.

No Surveillance Allowed Days

This entry was inspired by "FAQ: What You Need to Know About the NSA's Surveillance Programs" by Pro Publica, reprinted in the Reader Weekly of Duluth on 2013-07-11.  You can find a long list of similar stories by Pro Publica with the search terms "FAQ: What You Need to Know About the NSA's Surveillance Programs" "Pro Publica".

If you think government has overstepped its bounds on surveillance, you can protest in a "simple" way: don't use a phone, the Internet, or a debit or credit card each No Surveillance Allowed Day (NSAD).  If the usage of these drops significantly every Wednesday, the large corporations such as Google, Yahoo, Verizon, AT&T, Visa, and many others will certainly notice.  I am sure you have noticed that large corporations have more clout with Congress and the Administration than we ordinary citizens.  No Surveillance Allowed Days could manipulate the large corporations to influence the government not just for their benefit but ours!

This won't be "simple" because many of us need to use the telephone and the Internet for work and for other matters that can't wait until another day.  But you might find some things among the following ideas that you can do to make a small contribution to make the large corporations notice.

If you live outside the United States, especially in a country with heavy-handed censorship, you can stage your own small non-violent resistance with little fear of government retaliation.

On No Surveillance Allowed Days, think twice about any phone calls you might make, especially cell phone.  Can the call wait until tomorrow?  Does the call even need to be made?

On NSADs, avoid using the Internet.  Can you look up that burning question with Google on Thursday instead?  Can you make that online payment that is due on Wednesday a day early?  If you read newspapers online, can you buy a paper copy on Wednesdays instead?  If you don't buy a paper copy, you you could catch up online on Thursday.  If you must use the Internet, avoid clicking on any ads and avoid any sites that give you a short advertising video before showing you what you clicked for.

Oh gosh!  Our Social Security checks are deposited on the fourth Wednesday.  I guess we don't need to check online that they are in our accounts that day.  We can assume that they are there.  Besides, if we're avoiding the Internet, we won't be making any online payments until Thursday.

Finally, pay cash on NSADs instead of using a debit or credit card.  Or can you wait until Thursday to make that big purchase with one of your cards?

If we spread the word that we are doing these things in protest of the National Security Agency's wide-ranging snooping on our lives, we might get the attention of the large corporations who control our phones, our Internet use, and many of our purchases and payments.  If they are being hit in the pocket book, even one day a week, they might make a big squawk that will be heard in Washington.

No matter how much you plan to participate, would you at least spread the word about No Surveillance Days?  If you do so, please pass on the link to this entry (http://magree.blogspot.com/2013/07/no-surveillance-allowed-days.html).  That will give me some idea of how well this idea is catching on.  I'll periodically post how many views have been made of this entry.

Thanks, and may you sleep well, knowing you have done your part to stop excessive government snooping.

Convenience fee - what a misnomer!

You've probably seen the charge "convenience fee" when you order tickets online or pay some utility bills online. But the "convenience fee" is really for the company's benefit in two ways. First, they don't need so much staff to open envelopes and enter the data. Second, they cover the credit card/debit card costs. And you thought you saved a stamp and time addressing an envelope.

I was moved to write this entry by "Verizon Wireless to charge $2 for one-time payment - Verizon Wireless to charge $2 for one-time payments by credit card, online or by phone".

Here's a thought. Create jobs! Pay by check and mail!