Essay on petrol price hike

Today natural gas is very much in favor as a clean fossil fuel, especially for electricity generation in industrialized. Natural gas is not a renewable resource, since there is a fixed amount of it trapped in the Earth. However, many people carry the misconception that there is a very limited amount of natural gas, and that we may use all of it up.

Petrol price hike and its effects on our day to day life

The unfortunate impression left by the shortages of gas in the 's caused the people to believe that there was a small amount of gas left. On the contrary, the gas resource base is vast, and probably even …show more content…. Inflation can be noticed when the prices of basic commodities increases such as milk, gas and bread. It is a rise in all prices simultaneously.

Inflation is caused when the demand for something exceeds the supply. This causes the price of that particular item to go up which in turn causes wages to go up and operating costs also increase inflation. Over the past two years, oil prices have increased very rapidly. During this winter, the price of natural gas has gone through the roof. This brings many questions to mind.

Are the companies just raising prices? Is there actually a shortage that is causing the raise in price? It turns out that the market for natural gas is a very competitive one and that there is in fact a shortage in supply that is causing the price to increase. Natural gas must be drilled for and there are only a certain number of active companies that drill and they all have a set amount of capital.


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In the short run the supply of natural gas is very inelastic because they cannot just produce more gas. They would need. Show More. Read More. These ups and downs push more people into poverty and leading to a more pathetic situation of those already poor. This has obviously sent shock waves to the common man who is trying hard to make both ends meet. Price hike affects only the low wages or fixed salaried middle class families as compared to higher wages salaried class.

Essay Todays Rising Gas Prices

The existing middle class is squeezed and many of those striving to attain the middle-class standard find it persistently out of remit will bring no negative impact on government employees as their DAs will be increase accordingly. Rich and corrupted people are least bothered of it. Business class like auto-rickshaw drivers shall transfer the burden to common people so they are also safe.

Common people if doing business shall also pass the burden to customers and chain reactions. So what are we thinking?

Country and Currency

No, we, the people are the one to do something and control the situation. Stop blaming government and think how to solve it. We Indians import oil from different countries.

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