$4 for gas? It could hit $5 a gallon

[upstatecajun]

Source: Columbus Dispatch

Tuesday, April 5, 2011 03:07 AM
By Dan Gearino


After a weekend surge, $4 per gallon gasoline is within sight, and $5 gas doesn't sound nearly as far-fetched as it did a few months ago.

Drivers did double takes yesterday morning when they saw that the price had risen to $3.79 per gallon at many stations across central Ohio. Prices are rising because of the continued unrest in the Middle East and evidence that U.S. demand will increase because of the recovering economy, analysts say.

"You feel ripped off," said Donna Baker, 71, of Hilliard.

She paid $3.53 per gallon during her last fill-up at Sam's Club, and she felt like that was way too much. Now, it looks like a good deal.






Read more: http://www.dispatch.com/live/content/business/stories/2011/04/05/4-for-gas-it-could-hit-5-a-gallon.html?sid=101

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[hlthe2b]

1. Bullshit... It is escalating because of the damned speculators...

[dixiegrrrrl]

2. "improving economy"?????????

:rofl: :rofl:

[Kurmudgeon]

3. Yeah, keep laughing while right wing oil corps take the economy for their own.

[Javaman]

17. Meh...

Oil is traded on the open market. it's driven by speculators.

When it was at $70 bucks a barrel, speculators where still bidding on it then. where was the outrage then?

But we only get bent out of shape regarding speculators when the price starts to hurt us.

If you want to get rid of speculators, have an independent UN investigative body find out exactly how much oil is left in all the known reserves. Have them set a global price and be done with it.

But since the various opec nations refuse to disclose these amounts all we have left is speculation.

And since the US dollar is tied to the price of oil, it will never ever happen.

So screaming about speculators is just as effective as yelling into an empty room. It solves nothing and just makes your blood boil.

As I have written time and time again, (you can sift through my DU journal), the psychological break point will be $5 bucks a gallon.

Once it hits that, then things will get spooky.

During the last run up back in '07, the national price hit around $4.35 a gallon. There were small riots, fights at stations, people complaining about the price of food going up, etc.

In other words people were getting pissed.

Frankly, in my own opinion, once gas hits the magic threshold of $5 bucks, there will be anger. Lots of it.

Because while the price of regular will be $5 bucks, the price of a gallon of diesel will be much much higher. The pain in the wallet and the pit in the stomach will inspire people to really demonstrate.

When the average slob can't drive the 1/4 of a mile to get his weekly tub of ice cream or can't go out "to the lake" for the weekend, things will change.

In other words, when the high price of gas begins to infringe on our "leisure time", then the shit will hit the fan.

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[onehandle]

4. But the Iraq War returned us to Clinton-Era oil prices...

[rhett o rick]

5. The oil companies are punishing the lower classes for electing a Democratic president. nm

[lib2DaBone]

6. Exxon-Mobil pays no taxes.. G.E. pays no taxes.....

while Grandma shivers in the cold and eats cat food.

George Carlin "They call it the American Dream because you have to be alseep to believe it.."

[robinlynne]

It's way past 4.00 here in los angeles.

[Denninmi]

7. $3.859 to $3.899 here in the 'burbs of Detroit.

In Michigan, our gas always goes up a lot in May, because we have to use "reformulated" gas that cuts back on ozone emissions. I don't know if other states have this or not. So, I wouldn't be at all surprised to see it at least $4.259 or higher in about 4 weeks, assuming that there is no other cause of a price increase. $5 a gallon, wouldn't surprise me a bit. I'll just cut way back on all unnecessary trips, do all of my grocery shopping on my lunch hour and just take an ice chest with me, that sort of thing.

[Bonhomme Richard]

8. It used to be that summer came and prices went up then in the fall....

prices would drop. Now it's when repugs come into power prices go up.......period.
Coincidence?

[pampango]

9. Gas prices will inevitably go higher (sooner or later). Why not a higher gas now so that

we can use the proceeds to build mass transportation and green alternatives rather than letting the higher prices (which are coming as economies around the world demand more oil and less of it is produced) go into the pockets of oil companies?

If we had dramatically increased gas taxes 5 or 10 years ago, the decrease in demand for gas and the increase in mass transportation and green alternatives might have stabilized the price of oil by now. Of course, at any given moment we don't want to pay more than we absolutely have to (just like we felt 5 or 10 years ago) for gas. As a result, we save a little today and relinquish any control over our energy destiny for the future.

[liberal N proud]

12. We can use the proceeds?

The oil companies are the only ones that will be making profits here. There is no increased tax revenue with higher gas prices.
Raising that gas tax only adds to the consumer pain and inevitably forces them to buy a bicycle or just drive because they can no longer afford it.

[Javaman]

18. The price of gas in Europe has additional fees to pay for infrastructure

such as mass transit.

Here, no such thing exists. I don't know where you got that fantastic idea that there are infrastructure taxes on American gasoline, but that source is incredibly wrong.

[PVnRT]

35. Don't gas taxes go towards raod/bridge upkeep?

[Javaman]

40. Only a small portion goes to road repair.

beyond that, not much at all.

To try and make the case that the additional taxes on US gasoline prices reflex some sort of infrastructural tax, is a very weak argument.

It's like saying that a small portion of my taxes to the IRS go to support the Presidential fund.

While that is true, it's less than 1% of 1% of 1% of what I pay in taxes.

See what I mean?

Historically, Europe's gas has always been hugely more expensive in contrast to ours, because a huge chuck on the order of like 30% goes to infrastructure.

See the difference?

[notesdev]

10. $5? Try $10... coming soon if we keep on this path

Ben Bernanke, the gift that keeps on giving... higher prices without higher wages.

[onehandle]

15. Better hope not. $5 would crush the 'recovery.' $10 would destroy the Union.

Which would all be good news for the teabaggers.

No government. No infrastructure. No Obama.

No problem.

[Javaman]

20. Yup. Nail on head.

we have zero plan to deal with prices such as these foisted upon the public.

there is virtually no mass transit infrastructure any longer in this nation, the public transit is grossly underfunded, and forget about the woeful state of bike lanes.

And since all of our food is based upon fossil fuels, growing and transportation, 5 to 10 bucks will kill this country.

5 bucks - protests, fights at the pump.

6 bucks - riots. rampant stealing of gas.

7 bucks - riots, stories of starvation

8 bucks - stories of starvation, armed conflicts.

9 bucks - gas is rationed. Black market gasoline. more armed conflict. Economy already, under the strain of a double dip, begins to fracture.

10 bucks - economy fractures, open rebellion.

This is what happens when a nation is reliant on a finite source of energy.

[Orsino]

34. That last barrel of oil we can extract is going to cost millions.

Why quibble at all about particular numbers? The cost is eventually going to become prohibitive, and the true cost nigh infinite.

[Javaman]

41. Actually, I bet the last barrel won't be worth a dime.

Why?

Because by the time we extract the last barrel, so much of society with either have completely collapsed and that barrel won't serve anyone anything or we have moved beyond the need for oil and it won't be used for a thing.

[Orsino]

43. Considering the amount of oil we burn in order to pump more oil, I have to agree. n/t

[WatsonT]

11. Seems probable

I'm trying to drive less, use the AC less, and generally save on gas whenever I can.

[fasttense]

13. High gas prices are NOT good for the reelection chances of the incumbent president.

Which is why the RepubliCONS are ignoring them.

[notesdev]

14. Reality check

High gas prices are a direct result of:

a) obscenely loose monetary policy; and
b) trillions of dollars in public support to speculating banks

We're directly (one step removed only) pushing money into these markets, and what happens when you move more money into a market? Prices go up.

Now let's list who we have to thank for this:

#1 - Ben Bernanke, the Fed chairman appointed by Bush and re-appointed by Obama
#2 - Tim Geithner, Secretary of the Treasury and catastrophically failed Wall St. regulator during the housing bubble (talk about failing upwards!)
#3 - the rogues' gallery that has passed for a Council of National Economic Advisors
#4 - 535 morons in Congress without the guts to do anything about it even though the power ultimately lies in their hands
#5 - last but not least the money interests who are the real employers of all of the above.

Why would the Republicans take the initiative in making gas prices go down so that Obama can be re-elected? All they have to do to win is to sit on their hands and let the policies that Obama & friends have put into place take their natural course, then we will not see another Democratic President for a generation.

I don't want to hear any of you people bitching about it over the next 30 year span where we get tops, one right-leaning Democrat elected, and the rest all Republicans, unless you have the guts and intellect to stand up and do something about it today.

[girl gone mad]

19. They can't say we didn't warn them..

over, and over, and over.

"We have to give the bankers everything they demand so that they will lend us money and it will trickle down on us and save our jobs and houses."

:eyes:

[Shagbark Hickory]

16. It hit $5 here in 2008.

It hit $5 here in 2008 when a hurricane shut down the drilling platforms in the gulf (or at least that was the excuse) and that is where my area supposedly gets its oil from.

At the time there were a lot of gas stations that didn't have gas and the ones that did had long lines of people waiting to fill up. So I can't say for sure if it had any impact on consumption. I think back in 2008, the only ones buying gas were pretty much over a barrel anyway.

[AsahinaKimi]

21. So what happens when the average person

Can no longer afford to buy gasoline? I would say, who ever controls this, will probably kill the economy pretty quick. "Sorry boss, I can't come in, I can't afford to buy gas, on what you pay me!"

[Javaman]

27. There will be riots before that happens.

People living out in the exo-burbs will be the first ones to start protesting.

The poor in the inner city will be the next.

Why?

Because the people in the exo-burbs still will expect certain things in life, without the hardship.

While the poor, always being poor will be directly effected in the stomach. The poor are amazing at making food out of nothing, but when even nothing is no longer available they will protest. But that will come only after the people who can sacrifice and don't get pissed.

[Iggo]

22. Welcome to Southern California.

Something about boiling frogs slowly...

[ProgressiveProfessor]

23. Gas has been $4+ here in So Cal for some time

[LynneSin]

24. I am so glad I bought a house 3 miles from where I work

And we just had a BJs open 2 months ago. I got a membership there so I can get cheap gas.

[okieinpain]

25. what I don't get is why are people shocked by this. wasn't it

hitting $4 bucks a gallon 2 years ago before the recession shut everything down. people can't be that dumb to think it was going to stay around $2/gallon.

[Javaman]

28. I think you answered your own question.

critical thinking skills and the ability to learn from the past are...well, things of the past.

[okieinpain]

29. if that is true the yeah it is game over. while typing this a head

line just went over the news reader that says "ozone layer faces record losses over the artic". where have I heard that before. lol!

[CatholicEdHead]

30. It is up to around $3.73 here

it seems to be jumping a nickle every 3-5 days. It is getting absurd.

[Romulox]

32. Gas prices shot up when the President launched his new war. nt

[Javaman]

33. No, actually, it began

during the first protests in Tunisia.

It only ramped up faster when Libya started protesting because they actually produces measurable qualities for Europe. And as that conflict continues, the price will continue to go up as the European market has to deal with less.

All oil is sold on an open market. What happens to production in one nation effects the over all price of oil.

[Romulox]

36. It "began" with a big bang. Gas prices shot up when the President launched the missiles.

http://money.cnn.com/2011/03/20/markets/oil_prices_Libya/index.htm

[Javaman]

39. You don't really pay attention to oil prices do you...

go to www.nymex.com

It will give you everything you want to know.

Oil prices have been rising since late last year.

And like I stated in my previous post, the prices didn't ramp up in earnest until Libya started protesting.

It wasn't when we launch missiles. But regardless of the facts, you will continue to believe what you want.

[KamaAina]

37. $4 a gallon (which we already have in CA) is the point where people start looking at transit

Slight problem: Transit agencies have had their funds slashed to the bone. And, of course, Boner and his merry band of thieves are looking at cutting even more. So what we'll have is too many people chasing too few seats. :scared:

[shanti]

38. 4.17 a gallon here in sacramento

it's been almost 2 months since i filled up. after retiring, i just don't drive that much anymore.

[Shandris]

42. Could?

It hasn't even undergone the miraculous 'plant shortages' that hit every year and the 'gubmint reformulation'.

I'm expecting $6 or more this year. Hope I'm wrong. :(

[Initech]

44. There's a place selling it in downtown LA for $4.89 a gallon. Premium.

:yoiks:

[lovuian]

45. $ 4 is nothing get ready for $7 that is what the NWO has in mind

and the Saudis Princes will be gone soon

this is all planned

Americans are pretty savvy they will car pool and take mass transit more
Bike riding is coming more and more
scooters and small cars will be in again

it is all about manipulation

It will definitely make China's goods more expensive

[Tripod]

46. It's already close to $4 for regular here in NY

And going up a few cents every day. :(