Amazing. Gas prices have been creeping up for months, but because they finally roll over the $3 mark, numerous articles about gas prices start circulating. Wake up, folks. Gas prices have been on the rise for a while and no one’s muttered a complaint, at least not in the media. And, gas prices are going to continue to rise. This shouldn’t be any surprise; we’ve known this was coming. Neither should it be any surprise when oil and gas companies boast about record profits in a few months.
Of course, everyone wants to know why? Why? Why? Some of the most basic answers are the most obvious: There are more drivers in the world than ever before and there’s less oil beneath our feet. What that means in economic terms is the supply is dwindling while demand is up; that equals higher prices. Also, some of the countries we get our oil from — Venezuela, Iraq, Saudi Arabia, Nigeria, Angola — aren’t exactly our best buds. Plus, petroleum is in tons of consumer products — plastics to name one major oil sucker upper. Again, a supply and demand issue; when we demand more and suppliers have less to offer, prices rise.
The new reality is that cheap gas is a thing of the past. But you can protect your wallet by purchasing smaller, more fuel efficient vehicles and by driving less. Also, keep up with area gas prices at CharlotteGasPrices.com so you won’t get shocked at the pump.
Here’s a video from three years ago, explaining why oil prices are rising. Again, this isn’t new news … we just tend to forget what’s up.
Rhiannon “Rhi” Bowman is an independent journalist who contributes snarky commentary on Creative Loafing’s CLog blog four days a week in addition to writing for several other local media organizations. To learn more, click the links or follow Rhi on Twitter.
This article appears in Dec 28, 2010 – Jan 3, 2011.
You are spitting into the wind.
SUVs are still outselling real cars, much less fuel efficient cars.
If we learn anything from history it’s that we don’t learn anything from history.
All commodity prices are rising, not just oil, and it’s because the federal reserve continues to print money out of thin air. Take a look at soy and corn and cotton and copper prices. They all mirror oil.
If your thesis about ‘evil oil companies’ was true, gas prices would never come down (Department of Energy charts show that the average price was $4.10 in July 2008 and fell to $1.60 by Christmas of 2008).