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Study: Wisconsin's Gas Markup Law is Costly, Should be Ended Save Email Print
Posted: 10:49 AM Jul 24, 2008
Last Updated: 10:49 AM Jul 24, 2008
Reporter: Associated Press

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MADISON, Wis. (AP) -- A conservative research group says a Depression-era law requiring stations to mark up gas prices has a harsh effect today and should be eliminated.

Wisconsin's law requires stations to charge at least 9.2% over the wholesale price.

A study by the Wisconsin Policy Research Institute says that wasn't a big deal 10 years ago when gas cost 64 cents per gallon wholesale. But now it costs $3.29. And that adds 8 cents to the cost of every gallon, which adds up to $278 million a year for state drivers.

The study's author Christian Schneider says, "Consumers should be irate. It shouldn't be the government's job to make sure that they're paying more for gas."

But Matt Hauser of the Wisconsin Petroleum Marketers and Convenience Stores Association says most stations don't mark up gas that much because of a clause that lets them match competitors' prices.

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