Anyone hear anything about $3 / gallon gas in the US?

[Kidlicious]

Originally posted by DanS
I doubt that it will be $3 any time soon. Currently, the price of oil is just above the range where marginal producers can profitably add capacity. This isn't in the big boys' interests (they want to be the only ones adding capacity), so they'll keep the spiggot open as much as possible.

Can they add capacity too, and then when the price starts back down dump on the market, hurting the marginal producers?

[Sava]

I've heard those rumors... I doubt it... the economy would tank big time if that happened. Gas prices are directly related to Americans' disposable income and consumer spending. When Americans spend more on gas, they spend less on everything else.

EDIT: Although if high prices spark a demand in more fuel efficient vehicles, they might not be so bad.

[Urban Ranger]

Originally posted by monkspider
This is bad news for the fragile economy.

That means SUV will die. Muhahahahaha!

[DanS]

Actually, they're coming out with hybrid SUVs that will make them as fuel-efficient as most cars. Detroit thinks that SUVs/trucks are the only place where hybrids make good cost/benefit tradeoff.

[Verto]

Like this beauty:

[Urban Ranger]

"If you drive an SUV, you are a terrorist."

[DaShi]

SUV's are becoming increasingly more popular here in China as well. Of course, traffic in general has increased throughout the country. Hangzhou's traffic, which used to be quite mild and pleasant a few years ago, is now as bad as Beijing's was a few years ago. I can't imagine how bad Beijing must be now.

Another thing I noticed during my return was the appearance of gas stations everywhere. When I first came to Hangzhou, gas stations were usually found in the outskirts of town or tucked away behind tall buildings. It was rare to ever see one. Now they are on every street. Not sure how the gas prices compare, since I've never really bothered to look.

[MikeH]

Bristol doesn't have mass transit because it's built on the sides of many mountains. It does have excellent busses though.

My train journey to work in the morning is expensive but it's pretty good for punctuality (better than me...) and it's still much cheaper than it would be to go by car (because the parking in the town I work costs as much as the train even before petrol costs etc...).

[DaShi]

I usually take a big honkin' bus to work.