Gas Prices - Anyone Care?

[greenjoker]

Prices are still going up yet so little is devoted to this fact. Does anyone really care and what will its long term effect be for this country? Won't added oil/gas prices contribute to growing deficits/inflation or are other things more important? I would think that the high cost of travel could impact into most individuals directly more than terrorism, medicare, etc.

[Enrico Palazzo]

I care, especially because when I was working for the GOP in 2000 in regards to the high gas prices in the midwest I was told that it was because of the Democrats and Al Gore that gas prices were so high and that if/when Bush was elected gas prices would go down. I need to fill out a loan application right now to fill up my car!

[WixomSpartan]

Couldn't U.S. consumers drive the price of gas down within months by car-pooling and switching to more efficient vehicles?

[GreenYWhite]

Hey, perfect timining for my new signature!

[gHostenstein]

Originally Posted by WixomSpartan

Couldn't U.S. consumers drive the price of gas down within months by car-pooling and switching to more efficient vehicles?

Nope. Americans don't like to share. The problem w/ alternative fuel technology vehicles is that people think of the following image when they think about anything non-gasoline powered:

[GRR Spartan]

Even an out of the oil business for 10 years guy was predicting this gas price mess back in April'03.

Reagan, Bush Sr., Clinton and Dubbya all used the national oil reserves that are supposed to be used in national emergencies (like hurricanes, earthquakes, etc.) to hold down the price of domestic gasoline and keep the voters happy. Dubbya then put huge pressure on refineries world wide when the US invaded Iraq. (You don't think troop ships, aircraft carriers, cargo planes, bombers, fighters tanks and HumVee's get good milage did you?). Then we had the summer with travel and a colder than normal winter in many areas. (fuel oil).

To the witch's brew above, mix in an intense dislike of the Bush Familiy by many oil producing countries including Venezuela in our own hemisphere along with the notion that the US is in Iraq primarily for the oil. This reasonong is why OPEC has voted to freeze production current production rates when the US is in dire need of oil to replenish low reserves and get gasoline into storage for the summer driving season. How popular is Dubbya going to be with $2.00+/gal gas hurting your pocketbook and having high energy prices slowing down the recovery prior to elections.

In Spain they bombed the rails, for the US mainland, just jack the price of gasoline over $2.00/gal and watch the carnage.

[OldWiseOne]

I was amazed this morning to see CNN actually treat this subject fairly. To begin with, CNN reported that in 1980 gas cost about $2.40 a gallon in 2004 dollars. Well, so much for that "record gas price" nonsense. Any legitimate record has to take inflation into effect. CNN is the first news outlet to do so.

CNN also pointed out that America lacks in refining capacity. So true. There has not been a new oil refinery built in the United States since 1976: 28 years. Year after year the demand for gasoline goes up...and no new refineries built. Whom to blame? Talk to your local environmental activist. The real truth is even worse. In 1980 there were 300 refineries in the US. Today there are fewer than half that. This makes it tough to meet demand. When supply cannot meet demand guess what happens? Oh...i forgot: You went to a government school. Well...when demand exceeds supply prices go up. The increased prices help the suppliers spend more to meet the demand. The problem in this case is that the anti-capitalistic environmental types get in the way.

Then we have the special blends. Another legacy to the environmentalists. We have increased demand, reduced supply and reduced reserves, and here come the environmentalist-mandated special blends. These oil refineries have to shut down at this critical time of the year and change their refining processes in order to start cranking out the dozen or so special blends that are required in different parts of the country. This further interferes with the supply and demand scenario. Denver requires a special blend. Let us say that supplies of gas in Denver reach the critical point, and prices soar. Other Midwest cities might have a surplus--but they cannot ship any of there excess to Denver. Wrong blend. The environmentalists would not like it.

But hey...i know it is so much easier for you to just blame George Bush. Right? If something goes wrong in your life--like having to pay a bit more (though not a record) for gasoline--then it must be the president's fault. Yeah...life is really that simple.

[GRR Spartan]

$2.00-$2.50 / gallon gas is a big wakeup call. More psychological price point than anything. It's a political hot button that Bush doesn't want to go near and Kerry will push as soon as its available.

I don't blame Dubbya for the price of oil. But no one can deny the cost of energy has a direct effect on an economic recovery. Reagan's recovery was very slow until the Iran/Iraq war when both countries increased production to unprecidented levels to get cash to supply their armies. I remember 99 cent a gallon gas very fondly

A great many countries that are oil producers are not big fans of Bush/Cheney. Don't be surprised if our current president gets no help from increased production until after the election. The Saudi's don't have the desire or political will to blindy support the US anymore and Russia is not very happy about the current situation in Iraq. Without these two oil producing heavy weights in our corner, there is little hope of swaying OPEC to increase production.

[GreenYWhite]

Why can't we blame Dumbya?? Regardless of the reason for diminished capacity or lack of supply, this administration has not only avoided policies that would get us off of oil dependance, they have encouraged DEEPER dependence.

Of course you can blame Bush. His policies are what are killing us, in many ways including what GRR just said.

[Green Cheesiest™]

I was Europe last week, and a majority of the people I saw did not own a car (probably since gas was 1.13 euro/liter). If they did, the cars were super small and diesels. Many people could not afford a car and if they did, they bought them if they had to travel far to work (but in most cases people could take public transit).

Maybe a few months of ridiculous gas prices would make people realise things. But I doubt it.

I saw alot of those Mercedes Smart cars. I hear they are going to introduce them into the US market, but on a larger platform. I wouldn't mind one of those, at least I could parallel park as easy as 1 2 3 :p

[gHostenstein]

Originally Posted by GreenCheese

I was Europe last week, and a majority of the people I saw did not own a car (probably since gas was 1.13 euro/liter). If they did, the cars were super small and diesels. Many people could not afford a car and if they did, they bought them if they had to travel far to work (but in most cases people could take public transit).

Maybe a few months of ridiculous gas prices would make people realise things. But I doubt it.

I saw alot of those Mercedes Smart cars. I hear they are going to introduce them into the US market, but on a larger platform. I wouldn't mind one of those, at least I could parallel park as easy as 1 2 3 :p

You cannot compare Europe to the United States, it's impossible. In Europe there is an adequate infrastructure for mass transit, much like big metro areas in the U.S., i.e. New York City, where there are plenty of busses and train lines to take in and out of the city. Most of America doesn't work like that. And, even if you can take the train to work, chances are you have to drive to the train station.

In addition, our attitudes are so different. How many people, if they lived in Grand Rapids, would take Greyhound from MSU home? All you gotta do is walk over to the bus station by Crunchy's and hop on. But it's easier to drive, so people won't take the bus unless they either can't afford a car or some other reason.

Hybrid technology will definitely help. But people really need to accept it - Hybrid powered cars get way better gas mileage, reduce harmful emissions and perform at similar levels of regular vehicles.

[OldWiseOne]

Originally Posted by GreenYWhite

Why can't we blame Dumbya?? Regardless of the reason for diminished capacity or lack of supply, this administration has not only avoided policies that would get us off of oil dependance, they have encouraged DEEPER dependence.

Of course you can blame Bush. His policies are what are killing us, in many ways including what GRR just said.

"Blame" him for WHAT? That we have too-low capacity to produce the fuel that we need, too little political will to use our own sources and refine them, and unrealistic politics on the left triumphing over the unavoidably-obvious need of petrol for the time being? Which of these do you wish to focus on for now? Nor is it a matter of "getting off oil dependence" in three years of one man's administration, as Clinton made clear in his eight years. Of course you take shots at W for "killing us", but what is new there? Once you come out against slaughtering babies in the womb i will at least take you seriously in your claim of concern for someone's being "killed", MDC. Until then what you have said is mere radical ravings of someone with no hope of electing a third-party extremist.

[OldWiseOne]

Hmm. High gas prices, eh? Maybe we should have gotten in on this deal.