Elizabeth Warren just blamed high gas prices on corporate greed. Here’s why that doesn’t make any sense

FEE's Brad Polumbo writes,”In a recent MSNBC appearance, the progressive senator from Massachusetts argued that gas prices are rising not because of government-fueled inflation but simply due to corporate greed by oil companies like Chevron and Exxon.

‘We know exactly what the oil companies pay attention to, what is their main number one priority: profit,’ she said. ‘If this were just ordinary inflation, we might see prices go up. But prices at the pump have gone up, why? Well, let me give you a hint: Chevron, Exxon have doubled their profits.’

'This isn’t about inflation… this is about price-gouging,' the senator claimed during an MSNBC interview. https://t.co/ktqUdc79CN

— FEE (@feeonline) November 23, 2021

‘This isn’t about inflation… this is about price-gouging for these guys,’ Warren continued. ‘When we see prices go up we’re all concerned, and the Republicans want to come in and just try to hammer on one thing about this economy. But we’ve got to pay attention to the fact that folks like the oil companies say this is just another opportunity to make profits, and we need to call them out on that.’

Senator Warren’s attempt to pin the blame for rising gas prices on corporate greed makes little sense. Are companies ‘greedy’ in the sense that they’re focused on increasing profits? Yes, absolutely. (Although that’s not actually a bad thing). But it does not in any way explain the current increase in gas prices that is hurting Americans.

Chevron and Exxon are no more or less greedy or profit-focused than they were last year. Or the year before that. Or 20 years ago. There’s simply no reason to believe that they suddenly became extra greedy this year, or something.

Prices at the pump have gone up. Why? Because giant oil companies like @Chevron and @ExxonMobil enjoy doubling their profits. This isn't about inflation. This is about price gouging for these guys & we need to call them out. pic.twitter.com/kxiQkC2tYa

— Elizabeth Warren (@SenWarren) November 20, 2021

So, too, are we supposed to believe that gas companies are uniquely greedy or especially profit-obsessed?…

The true causes of high gas prices are complicated, and ultimately, prices are set by supply and demand—not by the whims of individual companies.”

Read the entire column.