President Bush, The Democratic Congress, The Saudis… what do they all have in common?
They’ve all tried to lower gasoline prices, and they’ve all failed… so far. Yes the Saudis are attempting to lower oil prices, why? Well when you think about it, if oil is so expensive no one wants to buy it, then it’s bad for business, I doubt many would lose sleep over the poor Saudis suffering a bit. Well recently they’ve called for talks saying that the current price of oil is unjustified.
The price of oil fell $4.19 to $134.35 today on the NYSE. Now you want to know what that means for you. Not much really unless you process and refine crude oil, you want to know how much gasoline costs. Well the price of gasoline doesn’t directly correlate with the price of oil. It will rise when oil rises, but usually after some time, it will also drop accordingly.
For every 30 dollars that the price of a barrel of oil goes up, add a dollar to the number at the pump. Just know that for the time being the price of gasoline shows no signs of dropping under $4.00 a gallon nationally. I know I personally pay around $4.21 for gasoline here in New York City.
There have even been talks about $5.00 a gallon gasoline soon, they aren’t too far off. In San Diego gas is around $4.50 a gallon, and we all know gasoline prices go up in the winter when most of that crude oil is used for heating.
In the near future we’ll be paying $6-$7 per gallon, so if you own an SUV I really hope you can sell it, or that lease is about to expire. Now is the time to buy a hybrid, to change your driving habits, and to even… dare I say it? Take public transportation, *gasp* even walking *oh no!*
Less than 10 years ago gas was 1.20 a gallon. Gas has passed an average of $4.00 a gallon nationally. You think your wallet is hurting? In the UK they’re paying £1.14 per liter, or $8.56 per gallon. In Norway, they’re shelling out $10.37 per gallon.
If you want some relief head to Turkmenistan which just guaranteed gas, water, electricity, and salt for the citizens of Turkmenistan until 2030.
I’m walking everywhere I can, and if I can’t walk I’ll bike. The MTA is number 3 on the list, followed by the car. What are you doing to save money on gasoline?