Letter: Factors in the price for gas
This is in response to the letter by John Tradup about gas prices in the Jan. 6 paper.
I can tell you why. It comes from a number of factors. First is demographics. I noted you referred to prices as you got closer to Marshall. A terminal for loading tankers is located there which means lower shipping costs.
Then on to Sioux Falls, S.D. That city has three factors: distance from a terminal again, South Dakota has a lower gasoline tax than Minnesota and the region that South Dakota is located in for wholesale oil is also cheaper.
You then refer to the Twin Cities. Let me reiterate shipping distance, having at least three terminals to haul from in close proximity. And was the reporting party the actual gas stations or the news media?
The last factors lie in every retailer's overhead. Smaller businesses in smaller towns generally (not always) have lower basic overhead costs (taxes, number of employees, etc.) and then there's the convenient-for-consumer card transaction costs.
Mr. Tradup, had you owned a business, you could also enjoy question-and-answer time like this from your customers like I do all the time.