How much lower can gas prices go?
A Saudi Arabian oil refineryOn Friday I was shocked to hear that world-wide oil demand is down to its lowest levels in 15 years. Thus, OPEC is considering production cuts to stop falling oil prices. Yet, if the now world-wide recession sticks, can oil prices go anywhere but down until an economic recovery occurs?
In the last month the price of gas has dropped $.32 cents to $3.35. A year ago the price was $2.76. How soon, if ever, will that price be breached?
Labels: Foreign Oil Dependency, gas prices
posted by Dahcredyns at
6:37 AM
4 Comments:
To 3.1 already. What would you expect if the oil price is almost halved. And US is in the beginning of a serious recession, if not a crisis!
even lower gas prices, actually.
unfortunately, i wish i could be more excited about lower gas prices, but i worry that even cheaper gas coupled with a several-year long recession could really stymie interest in alternative energies.
and let's a hope a recession is as bad as it gets.
It's not about the price of gas guys. It's about freeing ouselves from our dependency on oil from countries that are holding us hostage. What's the difference if the price tag of being held hostage is $4 or $2 per gallon. We're still being held hostage.
after 9/11 did consumers stop buying gas-guzzlers?
No.
Even after bin Laden wrote his manifesto blaming US foreign oil consumption as one of the biggest thefts the world has ever seen, consumers did nothing.
Instead, war protestors drove in SUVs with the bumper sticker 'no blood for oil'.
Even when it was proven that US foreign oil dependency was funding terrorism against the US, consumers did nothing.
Because gas was cheap.
If gas drops below $2.00 per gallon, the average consumer won't care about the long term costs of foreign oil dependency.
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