IF Gas Prices reach $4 a gallon or higher...

[mike-in-sa]

Not much better here in Texas. I used to fill up my smartie for $27. Now it takes $30!

[Dave Van]

$4.19 in WV yesterday.....still a happy Smart owner!!

[brian r]

Originally Posted by BobDiaz

It's been estimated that it could hit $300 a barrel in 5 years. that would translate to around $9 to $10 per gallon.

At that point, it will be the massive SUV that will be the rare sight on the road and the Smart or copies of the Smart will be the standard car.

I imagine at that point SUV and pickup trade-in value will be based on the pound.

[burtandnancy]

Now 5, do I hear 6?

[saskdiesel]

I feel sorry for those who heat their homes with heating oil.
It's going to be a tough winter in the north east

[smartyPantz]

I am counting my good fortune, between my smart, and my 4 mile commute.

[cosmart]

People don't realize the magnitude of the increase in oil prices. According to Cushing, OK WTI Spot Price FOB (Dollars per Barrel) , Oil was under $11 a barrel at one point in 1998, less than ten years ago. Now it is $127 a barrel. If Oil increases by 11 times in the next ten years, it will hit $1466 a barrel. Of course, it never will, because the world economy would grind to a halt at that point. But to think it could double or triple is not a stretch at all.

Another fact people miss is this. When gas was $1 a gallon (I remember buying gas for under $1.00 in 1998), the percentage of the price per gallon that was refining, distribution, retailing and taxes was much higher. With gas at $4.00, much more of the price is due to the price of oil. This means the price of gas will more closely track the price of oil. In other words, when oil was $11 a barrel, gas was $1 a gallon. Oil has gone up eleven times, but the price of gas has only quadrupled. We will not be so lucky going forward, If oil hits $300 a barrel, expect gas to cost about $10.00 a gallon. BTW, it is close to that in London already.

[texaspierz]

I'm so old that when I was a Senior in high school (1965), at the end of an evening's fun. All us girls would pool our quarters, and fill up the tank for our father's cars. We're talking 25 cents a gallon.

[Dunerunner]

There is an effort to boost oil prices to the limit, that being what the market will bare. When consumption falls off, so will prices. I'd just like to know who or what group is manipulating the market so I could find them and thrash them severely!!! Oil producing countries like the US are getting a break, be glad you aren't in europe!

PS
My daughter just advised me it cost her $98 to fill her Lexus GX 470. Glad I was on the phone, she couldn't see me grin.

[piglith]

I'm sorry but I get a little peeved when European's say our gas prices are nothing compared to theirs. It's not your Gas price, its the taxes your government is sticking to you.


Tax as a % of price of petrol
France: 73%
Germany: 71%
Italy: 68%
Spain: 63%
Japan: 58%
Canada: 40%
USA: 25%
source: IFS