Future Gas Prices

[James 624]

The more I read about fuel it looks like gas might reach $4 a gallon by spring. When gas reached $4 a few years ago it was the number one factor that hurt my business in my 25 years of business. It killed other businesses budgets , home owner budgets and other business that have to use fuel everyday. If it goes that high it will be an economy killer in my opinion. What are other peoples thoughts?

One positive it does seem to put hacks and lowballers out of business.

[C&S Property Services 24]

I agree Jim. We have already started a budget per job for gas to reach 5$/ gallon. You have to remember that on the commercial side diesel will always (most likely) be more expensive. So if gas is 4$ then diesel will be 4$ something per gallon. We try to budget a little bit more so we can still perform the same quality service as always on any job without the worry of going broke because some moron is Washington cant get the cohona's to put a stop to the non-sense.

[Doug Black 18]

We will see inflation in these pass-throughs well before it hits the main indexed economy. Every day the dollar is worth less and less and every day other countries try harder and harder not to hold this currency. When your money is worth nothing stores of value become usable tangible commodities. Keep in mind though, that a little less than half the gas price right now is TAX. They tax gas which is already taxed by monetary expansion (If you have five dollars and I print one.... your dollars are now worth less) and we are further taxed by unbridled spending which forces more monetary expansion which means higher gas prices which generates higher taxes on gas and so on ad infinitum...in a vicious loop until it coming crashing down and causes deflation again.

Here is a more comprehensive analysis: “No One Saw This Coming”: Understanding Financial Crisis Through Accounting Models

Edited January 4, 2011 by Doug Black

[Paul Kassander 26]

It is definitely an economy killer.

[James 624]

Just paid $3.40. Oil is heading to 100 a barrel gas prices of 3.50 to 3.75 to follow. This really sucks !

[Plazaman 14]

what happened to the good old days when a gallon of water was still more expensive than a gallon of gas?

[plainpainter 217]

I am not worried about the cost of gas killing my business in New England - I am much more worried about the future drought that looks like we're expected to have. Temps are still cool enough to make it seem surreal - but there just isn't any water coming down- and once things heat up, then it will be apparent, and I am scared as heck! So much I am gambling on not renewing all the newspaper 1 year contracts. I just can't shell out hundreds of dollars on marketing if folks stop calling because they believe they can't hire me.

[James 624]

Im buying a horse to pull my trailer and keeping my work within 10 miles. Mules are excellent for carrying 60 gallons of love and distributing supplies.