Think Before You Act

The church calendar identifies the second-century saint Irenaeus as a “bishop and martyr.” He was certainly a bishop (of Lyons in France), but his martyrdom may be more legendary. He is remembered primarily, however, not for his death but for

Why Is Alabama Gasoline So Expensive?

In a word, because of the state legislature.

Here’s an explanation.

In Alabama, an anti-competitive law prevents motorists from enjoying low gas prices. This is the price per gallon of a gallon of regular gas purchased at a Kroger Fuel Center in Texas, after using Kroger Fuel Discounts.

In Alabama, a law called the “Motor Fuel Marketing Act” (Code of Alabama §8-22) prevents retailers from selling gasoline (or any other motor fuel, such as diesel) for less than what it costs them to purchase it.

Specifically, the law reads in part, that:

Section 8-22-6

Certain below cost fuel sales prohibited.

It shall be unlawful for any person engaged in commerce in this state to sell or offer to sell motor fuel below cost or to sell or offer to sell it at a price lower than the seller charges other persons…”

In other words, it’s illegal to do that.

The marketing technique of retailing something for less than it costs to purchase it wholesale is called “low-price, or loss leader” and