Where I live, in PA, it's $3.069 for regular, and $3.699 for 93, $3.659 for 91. Most of the time if that spread for 91 and 93 were higher, I'd get 91. The vehicles don't need any higher, and that's usually all they have in Calif.
But at work in NJ, it's $2.779 for regular, and $3.269 for 93. That 49 to 63 cent differential is completely made up. Because going all the way back to Hurricane Katrina, when gasoline first went over $3/gal, it was $3.099/$3.199/$3.299, for 87/89/93. No different than June 1999, almost 6 years prior, when it was $0.999/$1.099/$1.199. Always a 10 cent difference between grades. At $1, and at $3.
Today more vehicles require and recommend premium and so there is less elasticity in the demand.
Going back 30 years, whenever we saw some new gasoline tax introduced, whether state or federal, the entire amount showed up the next day in the price of 87. But only a majority portion was reflected in premium, not the entire amount of the tax, since the demand was very elastic.
But at work in NJ, it's $2.779 for regular, and $3.269 for 93. That 49 to 63 cent differential is completely made up. Because going all the way back to Hurricane Katrina, when gasoline first went over $3/gal, it was $3.099/$3.199/$3.299, for 87/89/93. No different than June 1999, almost 6 years prior, when it was $0.999/$1.099/$1.199. Always a 10 cent difference between grades. At $1, and at $3.
Today more vehicles require and recommend premium and so there is less elasticity in the demand.
Going back 30 years, whenever we saw some new gasoline tax introduced, whether state or federal, the entire amount showed up the next day in the price of 87. But only a majority portion was reflected in premium, not the entire amount of the tax, since the demand was very elastic.
Something like a Honda CR-V vs Acura RDX is more substantial though.
