The issue I brought up is what did 7 Administrations in Washington did to this problem.
After the 1973 oil embargo, we enjoyed an economic boom with cheap oil less than 20 bucks a barrel of oil (a barrel of oil is equal to 42 gallons, but crude oil normally can get only around 18.5 gallon of gasoline after refinery), our Government never make any concrete solution to the shortage of oil and we are squeezed.
What did Congress do ? Congress passed the law to limit highway speed limit to 70 mph, requires Detroit to meet a 35 mpg cars by certain milestones and also create a national oil reserve.
However, the Brazilian central Government made drastic change and "INTEND" not to import 1 drop of oil into Brazil by making E100, and E25 gasohol and cars that runs on 100% sugar-cane ethanol or 24% sugar-cane ethanol-76% gasoline (called gasohol) since 1973 oil embargo.
Anyone in this thread has no clue 1/6 American works in automobile-related industry. Also it is not the gasoline that hit 4 bucks a gallon but the diesel fuel is hitting the ceiling. As someone who also works in the transportation industry, it is "killing" everyone.
The price of crude oil is somewhere around and below US $140.00 a barrel. but expect to reach beyond $150.00 a barrel in July and surpass $200.00 in less than 3-6 months.
There will be massive layoff, cutback of factory expansion, much higher food price and results in more violence and crime rate.
Other western countries uses much smaller efficient cars, less SUV and used to higher gas price, but America is the third largest country and most of us drive to work, drive to see a movie, drive to the mall and drive to have fun!
The good time is over, there will never be another 20 dollars a barrel of oil on free market but 200 dollars a barrel of oil is on the horizon.
United States will look closer to Canada and Mexico as trading partners instead of China because the Chinese goods and all other goods will certainly increase at least 9-11% due to increase in cost of transportation.
Tourism will be hit so hard and the first one to crash as proof of merger of Northwest and Delta airlines.
Because only 1 person in this thread is trucker (driver), it used to cost $200 to fill up the gas tank, now it is around $400-$500 dollars to fill up the truck tank.
Brazilian model started in 1973 and is not perfect and suffered setback in early 1990's when the price oil is so cheap (around 20 bucks a barrel), but what is our national policy on oil. The recent inquiry of all the major oil companies CEO rsulted in nothing.
Just like the tobacco class-action lawsuits, the money was pocketed by the lawyers representing the states. Congress wants to file a multi-billions dollars lawsuit against the oil companies but I don't think it will solve the crisis we are facing now.
Honda is coming up with a new hydrid next year and claim to be only $1,800 more than a Honda Civic. We just have to wait and see.
The invasion of Iraq did not bring us cheap oil but chaos and more high prices.
It is the lack of determination of the Government, and Congress to handle this crisis, then we must change our behaviour to conserve energy and cut consumption to fight back the oil companies thieves !
Our company has many hydrid vehicles and order another 200 hydrid vehicles, has 1 electric car and also 1 hydrogen vehicle (made by Ford) but electric and hydrogen vehicles are beyond reach of American middle class !
I will close now because in 3 months the price of food and everything will hit the ceiling and don't blame anyone but ourselves of huge consumption of gasoline and diesel oil.
artysml:
