Friday, December 05, 2008

Could Gas Be Less Than $1 a Gallon?

I just read an article that says gas could go below $1 a gallon by early 2009. Can this be possible? Just a few months back I nearly had to take out a second mortgage to fill my tank now it's going to be about the cost of a pizza from my favorite shop.

I don't understand out how they price this stuff. It's all a scam if you ask me. Isn't there still more demand than supply?

For the consumer this is good news. We could use relief in the new Great Recession. Besides the oil companies can afford it.

5 comments:

"Just David!" said...

It's all based on speculation and oil and gas futures or so I've heard, I really don't get it either. Living in the energy capital of the US, it's pretty cheap here right now and I'm happy about that, but it'll never get to $1 a gallon!

David said...

I was doing a happy dance the first time I filled up my gas tank and it cost less than $20. Now it costs less than $15. I'd be tempted to go on a road trip if it weren't that my job security just took hit due to the--now that it's official--recession.

Will said...

Rick, I think this report--I just got it on the morning news--points up how totally artificially managed the entire oil industry is. At the time of the highest prices, OPEC swore that they were pumping enough for world-wide demand and that there was NO shortage.

Just before the prices began to decline, we got reports that the spike as caused by market speculators who were driving the prices up in a feeding frenzy for energy futures. We got screwed and it as all for the profit of a small number of greed-driven scum.

The danger is that cheap gas will lull most people into thinking there's no need to develop alternate, renewable energy sources. The oil supply is still finite and petroleum-based energy is still a major if not THE major cause of greenhouse gasses.

afod said...

I was totally shocked that it was less than $20.00 to fill the tank of my Honda CR-V today. I remember paying over $65.00 not too long ago. Now if only the natural gas can decrease in price, too during these cold months.

tornwordo said...

Wait, you have one dollar pizza? That must be per slice, right?