An article in the WSJ yesterday gives some specifics on why gas prices have gone up, and how the U.S. Government has contributed to the rise without the citizens being aware of the hows and whys.  It states “U.S. retail gasoline prices are around the highest they have been in three years, according to data from GasBuddy. Gasoline cracks—or the difference between the price of crude oil and the price of gasoline—touched multiyear highs in recent weeks, according to a recent report from BofA Global Research.”  What would cause the difference between crude oil price and gasoline to increase?  The article goes on to state, “Compliance with the Renewable Fuel Standard, which sets annual quotas for the quantity of ethanol and biodiesel that must be blended into fuels, has been the main driver of that price surge.”  It points out the fact that “so much of U.S. refining capacity in the U.S. is concentrated on the Gulf Coast. The region accounts for almost half of U.S. petroleum refining capacity.”  Why is this? Because, “Practically no new major refineries have been built since the 1970s, in part because of stringent environmental rules.”   And, “On top of that concentration, other existing rules such as the Jones Act (which bars foreign-flagged ships from moving between U.S. ports) create needless bottlenecks for alternative modes of fuel transportation, while the Renewable Fuel Standard adds a layer of cost and complexity for refiners that is ultimately passed down to consumers.”  So, decades and decades and layers upon layers of government mandates and special interest influence add up to higher prices, inefficient infrastructure, and less fuel processing and delivery flexibility which is sold piece by piece to some constituency group, but which ultimately hurts us all.