| He once lit a match to see how much fuel was in a train tanker |
| Yeah? It was 1.40$, and it pretty much stayed there during Clinton's terms. Only this year it skyrocketed up to 2.29. |
The gas problem is going to be a long term problem.
First, you can not blame Bush or the US government for gas prices. Crude oil prices are set by OPEC. They will raise prices just because they *think* a shortage may happen. Unless the US wants to go to war with the world, we aren't about to over throw OPECs decisions.
Second, we keep having a higher demand. More cars. More driving. Less fuel efficiency. The EPA wants to make sure we have very clean air. They make tighter and tighter restrictions on emissions every year on both cars and fuel refinery. Funny thing is- the higher the emissions standards, the worse the gas mileage. You need more fuel.
Third, refineries keep closing because they can meet emission standards. The EPA has gone so insane that it is almost impossible to build a new refinery so companies just don't. We have lost about 30% of our refineries in less than 20 year. However, our demand keeps growing but our refineries can't keep up. Europe's gas is quite expensive because of this. They have to outsource almost all of their refining which costs a lot since all of them are already running at 99%.
Fourth, the people don't want more fuel efficient vehicles. How many people do you know that drive a diesel car? A Jetta TDI will get 50mpg (that is real life trial- I had one). Diesel fuel is $1.79 per gallon here versus $2.09. Doesn't take a math wiz to figure that one out. How many hybrid Honda civics do you see on the road? They are available, but they don't have the horsepower of a full gas engine. They don't sell well. These factors tell the car industry that we don't want alternative fuel so they aren't spending the money on research.
But, here is a bit of math for you to see that gas prices aren't as bad as people really think. Yes, it costs more per year, but I think until it gets to $3.00 a gallon people can deal with it if they use a little common sense and quit over reacting.
Here is the scenario (which is real life because it's my car). Monte Carlo gets 28 miles per gallon. It is driven 29,000 per year (I will round that to 1035 gallons per year). Here is what it costs per year to drive at different amounts (I will start with a gas price that we haven't had in years and end with one that could happen):
$1.35/gallon: $1397.25
$1.50/gallon: $1552.50
$1.79/gallon: $1852.65
$2.00/gallon: $2070.00
$2.10/gallon: $2173.50
$2.25/gallon: $2328.75
$2.50/gallon: $2587.50
$3.00/gallon: $3105.00
So, the difference in gas from a few years ago ($1.35) and now ($2.10) is $776.25 per year more. Since the national average mileage per year is less than half of what I drive, that means that the average consumer is seeing an increase of less than $388 per year (at current prices). In comparison, if you were to buy a fast food lunch 3 times a week at $3 more than it would cost you to pack a lunch, that would cost you $468. Heck, even a $1.50 coffee 5 days a week costs $390. Smoke? The yearly average for that is $2,000 per year.
So, pack your lunch, make your own coffee, and quit smoking. Buy a fuel efficient vehicle the next time you need a car, and don't sweat the gas prices.....yet.
| So, the difference in gas from a few years ago ($1.35) and now ($2.10) |
| In four/five months from now....Sept/Oct there will be a world glut of oil and the prices will come down again and settle in around $1.70-$1.80 a gallon |
| Trickle Down Economics |
| #89 by Skinner kona0197 - 5/21/2004 10:37:54 AM So, the difference in gas from a few years ago ($1.35) and now ($2.10) Gas might be that cheap nationwide but Oregon is much higher at 2.35. California as well. |
Those are average prices, Kona. Obviously some states are higher or lower than others.
you'll get tax incentives that will help offset the little more you'll pay for it, but what you save on gas will more then make up for that too. look at what you'll be using the car for.. granted if you're hauling something you need a truck.. but unless you've got 6 kids you don't need a minivan (or far worse, a pointless SUV). if you want a sports car, well.. we all have different reasons for getting a sports car. but if you just need something to drive.. go small, go cost efficient if you go gas. mini's, civics, jettas. us city dwellers will thank you, when you're trying to parallel park the thing on a skinny street.
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