many times we think that the petrol price in world are decreasing at higher rate that the decrease in our country. But this is due to the fact that the after processes and taxes are not done in the countries which produces fuel due to insufficient instruments.
suppose that the basic price of petrol is 40 Rs. per litre and the processes and taxes also cost 30 Rs. Hence we buy 1 litre petrol at 70 Rs.
If petrol prices deceases by 50% but the decrease we find that is lower this is due to the fact that the 50% decrease is on the basic price of petrol. hence we will by the petrol at 40/2+30 i.e.70 Rs. So the apparent changes are lower than expectation.
hence before blaming government one must verify all possibilities
suppose that the basic price of petrol is 40 Rs. per litre and the processes and taxes also cost 30 Rs. Hence we buy 1 litre petrol at 70 Rs.
If petrol prices deceases by 50% but the decrease we find that is lower this is due to the fact that the 50% decrease is on the basic price of petrol. hence we will by the petrol at 40/2+30 i.e.70 Rs. So the apparent changes are lower than expectation.
hence before blaming government one must verify all possibilities
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