Road Warning: $7 Gas May Be Ahead
Economist Predicts Increase By 2010, Which Would Take 10 Million Cars Off The Road
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Seven Bucks A Gallon For Gas?
A new energy report predicts that oil will cost $200 a barrel in two years. If that happens, gas would go up to $7 a gallon. Priya David reports on the huge impact that would have on American lives.
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Mitchell Igelko in Miami complains rising gas prices are threatening his 20-year-old landscaping business. His two biggest trucks sit idle - he can't afford to fill them up.
Right now, Igelko's business averages $30,000 a month in gas - at $7 a gallon, that would jump to about $50,000 a month, CBS News correspondent Priya David reports.
"I think at that time, I'm gonna put a sign 'gone fishing,'" he said.
Economist Jeff Rubin predicts the $7 mark will arrive by the year 2010.
Hardest hit will be those for those making less than $25,000 a year. For them, gas will go from 7 percent of their income to a whopping 20 percent.
"People are going to be spending more on gas than they are on groceries," said Rubin. "And that's not a sustainable choice."
In fact, by 2012, higher prices could send an additional 10 million vehicles off the road.
It would certainly ease congestion. Having that many cars come off the roads is like permanently parking twice as many cars as there are in the whole state of New Jersey.
Some look to Europe for solutions to the skyrocketing gas prices.
"They drive these nice little cars which maybe we should start doing," one U.S. driver said.
Expensive gasoline has led Europeans to also drive less than we do. In America, over 90 percent of all households commute to work by car. Compare that to just 60 percent of British households.
"People's entire mindset as to what kind of vehicles they drive, where they live, choices they make on holidays, and vacations are going to be quite different, because it's starting to bite," said Joseph Romm of climateprogress.org.
For Mitchell Igelko, $4 gas is trimming his profits, but $7 gas would be a knock-out blow.
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See all 285 CommentsWhen should we take our country back? Boycotts and general strikes needed before it is too late.
"By MICHAEL M. GRYNBAUM
Published: June 27, 2008
There was no relief in sight on Wall Street on Thursday, as a sharp dive in the stock markets only worsened as the afternoon wore on.
The Dow Jones industrial average fell 358.41 points, or 3.03 percent, to 11,453.42, its lowest level of the year, after a discouraging report predicted trouble ahead for some of the nation%u2019s biggest brokerage firms."
Next up, 30 percent Unemployment, sales of our infrastructure to foreign corporations, TOLL Roads everywhere and worst of all the TAKEOVER of our water resources.
Bottled water is already ridiculously expensive it''s only a matter of time before ALL water resources are controlled and going for that price.
In 1982, Arbusto became known as Bush Exploration, a year after George H. W. Bush became Vice President. A friend of the Bush family, Philip Uzielli, invested $1 million in 1982 in exchange for a 10% stake in the company, at a time when the whole company was valued at less than $400,000. As it neared financial collapse again in September 1984, Bush Exploration merged with Spectrum 7 Energy Corp., a company owned by William DeWitt and Mercer Reynolds. Bush became Chairman and CEO of Spectrum 7.
In 1985 Spectrum 7 reported a net loss of $1.5 million and was bought in 1986 for $2.2 million by Harken Energy, with Bush joining the Harken board of directors and finance audit committee.
In June 1990 Bush sold most shares in Harken to a Los Angeles broker named Ralph D. Smith. One week later Harken announced an overall loss of $23.2 million triggering an investigation by the U.S. Securities and Exchange Commission into the sale.
Our politicians are too busy taxing us into oblivion supporting people who shouldn''t be here and fighting wars in which we no business.
Anyone with intelligence and the means and has already "left the building".
Blame the situation all you want on Gore and the so-called liberals. The only one looking foolish is a blind cultist Limbaugh supporter who thinks the present administration is bringing prosperity.
The oil is controlled by the oil monopolies and speculators that, even with the oil of Iraq, have absolutely no regulation or control. They are free to do you in, and as long as they have that freedom, you can dig to China for oil and more oil, and nothing will have changed when you are finished.
We already know there is ZERO shortage of OIL. OPEC has already said there''s plenty of supply. All the oil producing nations have said there''s zero supply shortage.
The reason OIL is so high is because of COMMODITIES TRADERS. That is IT! They speculate based on their FEAR that oil''s gonna run out but it isn''t! Global demand is NOT increasing exponentially... it just isn''t happening. This whole thing is a farce and oil WILL return back to sub 100 VERY soon if the dam commodities traders get BUSTED for who they are.
Tell us the NAMES of those trading up oil and tell us WHO THEY WORK FOR... then you''ll find a mass exodus from oil trading and prices will come back down.
Usually deregulation was reserved for the mighty rich. The little guy has continued to be subject to regulations.
Posted by BajaJohn1
A fact conveniently ignored by the neocons. Gore does use a lot of energy, but he manufactueres a lot too and gives it back to the grid. The end result is that he consumes little energy.
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Posted by BajaJohn1 at 08:32 PM : Jun 26, 2008
+ report abuse
What are you saying? The Israelis own most of the brokerage houses? are you kidding me? don''t be an idiot. Or was that a Jewish link there? I''m Jewish and don''t own any brokerage house. Or are you saying it''s the republiCONs? I''d buy that one...
The FACT remains that the PEOPLE control the government if we just GET UP AND DO SOMETHING. We''re all just a bunch of dam sheeple and lemmings and will just bend over no matter what. It''s time we RISE UP and DO SOMETHING.
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Posted by Leah1194 at 08:41 PM : Jun 26, 2008
+ report abuse
Wow, what a load of garbage there. You''re CLUELESS. There are MILLLLLLLLLLLIONS of acres of land leases that the oil companies own IN THE US that are NOT BEING DRILLED ON. In addition, there''s no more rigs left to even start drilling, so where do you think they should get the rigs from?? Build more right? Just like that? LOL. In addition, if you drill offshore, you get a small FRACTION of the oil that you would get from the current land leases that are NOT DRILLED ON RIGHT NOW.
Offshore drilling is just a republiCON talking point now... we do NOT need that. There''s PLENTY OF SUPPLY ALREADY!! Have you seen even ONE gas station say they can''t provide gas because they have problems getting it due to lack of supply? NO... that is because there is NO LACK OF SUPPLY.
Posted by Leah1194
Incorrect. The oil companies have not even begun tapping areas already open to them and now they want to open others. They need to finish what''s on their plate first before gettng back in line.
Posted by Element51 at 08:45 PM : Jun 26, 2008
unfortunately, i agree with you. However, if we do NOT stand up and revolt, then our inaction is our own fault. We have to start somewhere.
The MEDIA is complicit in this for not reporting the facts to the world. They should be publishing stories to the world that say "THERE IS NO SUPPLY SHORTAGE" and "THE PRICE OF OIL IS ARTIFICIALLY INFLATED DUE TO TRADERS WHO DONT KNOW DIDDLY" and "WE HAVE A REPORT WITH A LIST OF NAMES OF PEOPLE WHO ARE TRADING OIL FUTURES AND ARE PUSHING THE PRICE UP, THIS IS WHO THEY WORK FOR." Etc... THAT will push the prices back down.
The value of a (mostly free) open market is that the proper future value of an item is (mostly) accurately set. Of course, I don''t know whether this market has been monopolated, but I suspect not. Unless this is Enron-style insider or monopolistic trading, the oil speculation market may be right in its fears.
I think this is a bubble, as you do, but only time will tell. Saying that oil is NOT going to run out is just one persons opinion. The value of a market is everyone''s opinion is used in setting the value of the item, AND they back that opinion up with money.
From Dreams of My Father: ''I ceased to advertise my mother''s race at the age of 12 or 13, when I began to suspect that by doing so I was ingratiating myself to whites.''
From Dreams of My Father : ''I found a solace in nursing a pervasive sense of grievance and animosity against my mother''s race.''
From Dreams of My Father: ''There was something about him that made me wary, a little too sure of himself, maybe. And white.''
From Dreams of My Father: ''It remained necessary to prove which side you were on, to show your loyalty to the black masses, to strike out and name names.''
From Dreams of My Father: ''I never emulate white men and brown men whose fates didn''t speak to my own. It was into my father''s image, the black man, son of Africa , that I''d packed all the attributes I sought in myself , the attributes of Martin and Malcolm, DuBois and Mandela.''
And FINALLY the Most ------- one of ALL of them!!!
From Audacity of Hope: ''I will stand with the Muslims should the political winds shift in an ugly direction.''
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Posted by Leah1194 at 08:47 PM : Jun 26, 2008
+ report abuse
Leah, you''re a troll... you gave it away with Obama''s supposed quote from his book... that was not the REAL quote. Why don''t you publish the REAL one and then we''ll talk. Until then, you just gave yourself up as an ignorant neoCON talking point tool. I bid thee farewell.
Posted by Leah1194
McCain supports relaxed immigration standards too.
===If you read a few quotes from him in his published book you''''d see he is NOT for the American people. He said, "I will stand behind muslins" as my own.===
Posted by Leah1194
Also incorrect - taken out of context. What Obama said was that if things even got to the point of us interning Muslims and middle easterners like we did with Japanese in WWII, he would stand with these people against the injustice.
Posted by Leah1194
The actual quote from the book (NOT taken out of context):
From page 261 and is as follows: "Of course, not all my conversations in immigrant communities follow this easy pattern. In the wake of 9/11, my meetings with Arab and Pakistani Americans, for example, have a more urgent quality, for the stories of detentions and FBI questioning and hard stares from neighbors have shaken their sense of security and belonging. They have been reminded that the history of immigration in this country has a dark underbelly; they need specific reassurances that their citizenship really means something, that America has learned the right lessons from the Japanese internments during World War II, and that I will stand with them should the political winds shift in an ugly direction."
The value of a (mostly free) open market is that the proper future value of an item is (mostly) accurately set. Of course, I don''''t know whether this market has been monopolated, but I suspect not. Unless this is Enron-style insider or monopolistic trading, the oil speculation market may be right in its fears.
I think this is a bubble, as you do, but only time will tell. Saying that oil is NOT going to run out is just one persons opinion. The value of a market is everyone''''s opinion is used in setting the value of the item, AND they back that opinion up with money.
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Posted by ubrew12 at 08:49 PM : Jun 26, 2008
+ report abuse
With all due respect, although you''re generally correct on that statement, in terms of OIL, it''s bupkis. It is artificially inflated. It''s not just a bubble, it''s a super bubble. Oil will *eventually* run out, but not any time in the near future. I want to see just ONE report from someone that is a professional in oil exploration that says that OIL is running out to where it''ll disappear in the near future (10 years?). ANY report. No such report exists! OIL is NOT running out and everyone knows it.
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Posted by u-r-right at 08:50 PM : Jun 26, 2008
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1. to free the people from the tyranny of islam.
2. to seize their oil so they cant bully us anymore.
3. TO STOP THE THEIR PLANS OF A MASS NUCLEAR SUICIDE BOMBING THAT THEY''RE PLANNING!!!!!!!!!!!!!!
http://www.msnbc.msn.com/id/14095881/
http://www.gravmag.com/oil.html
(this is from June 19th!) http://www.washingtonpost.com/wp-dyn/content/blog/2008/06/19/BL2008061901673.html
http://www.nytimes.com/2008/06/19/world/middleeast/19iraq.html
http://www.roadstoiraq.com/2008/01/29/american-oil-companies-offered-five-million-dollars-to-each-iraqi-mp-to-pass-the-oil-law/
They are trying to get more oil from our areas and Canada but can''t due to stupid lawsuits over global warming lies and protecting bears.
Also since you know nothing about US refining you have no basis to make comments about capacity or the like.
11. Dictate to Americans that they should be ashamed for using 25% of the world''s energy while only having 3% of the population and that A/C thermostats in should be set at higher than 72 degrees.
12. Give up America''s sovereignty for the "good of the world" and to save the planet from "global warming" by supporting new treaties on international boundaries, not drilling in ANWR or offshore, but standing by while Castro plans to drill off the Florida coast.
13. Campaigning on a message of "change", because it sounds good.
The list can go on and on, as Castro and Obama share many principles for the formula for a failed state, but one in which the party of the "new poor" remains in power through the growth of government. As this party provides more and more entitlements for its citizens and big government prevails, the country becomes less and less productive. Eventually, America''s economy is no better off than Cuba''s. Therefore, Fidel, go ahead and send Obama that box of Cohibas, for he is a Marxist just like you.
8. Abandon America''s principle of helping the world rid itself of dictatorships, thus, put our weapons down, throw our arms up, and retreat in shame from Iraq.
9. Support dictatorships throughout the world and elevate them to be recognized by the US as worthy leaders that need to be heard without preconditions - legitimize them
10. Grow the support base by expanding the lowest income class in the country by increasing and broadening entitlements; however, add to that the importation of poverty into the United States by giving Amnesty to well over 20 million illegal aliens in the country. Furthermore, promote this policy in order to attract even more illegal immigration prior to the granting of the amnesty in order to achieve the highest number of "new, uneducated, government-dependent poor class", I call the "new poor".
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