Jim Babcock said:
Do you remember when gasoline cost less than a dollar a gallon? I am sure that you do because it was not long ago. Do you remember those who said that if only gas cost more then other forms of energy would be viable. Back then in books and speeches it was said that gasoline only needed to be about $.50 per gallon more. We are now approaching $4 per gallon in the US. I just got a message from a colleague in London who is on his way to the middle east and he reported that petrol there is $9.65 per gallon (converted to US dollar). The high prices have not magically created the promised results. We will still have global warming, and there will still be pain.
IMO we are in for high energy prices for a very long time to come. Individuals are adjusting their habits. Not surprising elected idiots in some quarters are pushing for even higher taxes on fuel (because revenue for roads is down due to less consumption). Many families and businesses are hurting. The global economy is in trouble. This winter is going to be deadly. Having high energy prices is not a solution to environmental issues. High prices only create an environment where innovation can begin. It is going to take time for inventors to create actual viable products, test them, bring them to market and for the marketplace to choose the winners.
An interesting aspect is the tax aspect. If/when an alternative to gasoline is found and accepted by the market (my favorite is the plug in electric car), and the tax base from gasoline dries up, then what will be the mechanism that the politicians use for taxes to maintain the roads? Will government be able to break its dependence on oil? This is similar to the charade about smoking (no I have not ever been a smoker), where they demonize it but refuse to ban it.
What are your thoughts?
I agree with you Jim. Since Oil is finite I really have to blame our do nothing congress for not having an energy policy to eliminate/lessen our dependence. And it's not like they didn't see it coming; gas shortages of the 70's and 80's and now the 00's along with the bad foreign policy decisions it caused and the unsavory govts we've had to get in bed with.
We need to do with the energy program what JFK did with the space program. We were way over our heads technologically but we overcame with leadership, money, and American ingenuity.
Let their oil rot in the ground and turn them back into 3rd world countries.
Lou
