I was reading this article on Yahoo Finance, and I started thinking to myself, “Will the price of gas ever stop rising?” I have not written much about the price of oil and the ever increasing gas prices until now, because it’s getting so absurd. No one knows why it’s REALLY increasing so much. I always hear people say that there is a shortage or refineries are down or up for maintenance, but is that really the reason why it keeps rising so much? Is it those futures investor nerds that keep driving the price up? Is it the fact that we are so dependent upon Middle Eastern oil? Is it because we’re just too dependent on oil in general? Whatever your take is on this debate, it doesn’t stop the fact that we keep paying whatever price the gasoline company spits out at us.
It makes me wonder just how elastic gasoline will be. What will be the consumer’s threshold when it comes to changing their habits of driving. Will it be four, five, six, seven dollars a gallon? My opinion is that the only solution is to change the technology in our transportation. Show the Middle East that we don’t need their oil as much as they think we do. The technology is there, it’s just not being researched, because the people with the deep pockets are the oil companies. I’m not going to say that we need to stop driving SUV’s, because I like them. I’m 6’4”, so there’s no way you’re going to get me into one of those smart cars, but we put a man on the moon, so we should be able to figure out how to create mid-size cars that get 50 to 75 miles per gallon.
What’s your opinion? What’s your solution to the potential energy crisis?