Why so little gas station arbitrage?

RSaunders requests:

How does the Exxon at Virginia Ave [in DC] sustain gas prices that are $1 higher than anywhere else in DC (even Adams Morgan). Realize it’s only gas within 3mi and people probably don’t buy a full tank, but can there really be that many people about to run out of gas to buy 1 gal of gas at a time to sustain this differential?

This Exxon comes up right before the entrance ramps to the major highways, right before leaving the NW quadrant of the District for northern Virginia.  Some people simply need to fill up and they are intimidated by the notion of getting off the highway in the suburbs, finding a gas station on the right side of the road, making a subsequent U turn, and finding the entrance ramp back on to the highway they wanted.  They also may have memories of getting back on the Capital Beltway in the wrong direction, being confused by those ramps where going south is called “Baltimore” and going north is called “Richmond.”

If that ain’t worth $5 for America’s elite, I don’t know what is.

A fellow with almost the same name — rsanders — requested a book on Romanian political history.


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