I was reading the MSN money site, and this is an excerpt from one of the articles.

 

"Demand for gas will remain high through August, but should drop after Labor Day. Prices should soften after that assuming underlying crude oil prices hold stable and refinery activity and shipments aren't interrupted by natural disasters, such as major hurricanes, Lundberg said."

What's sad is by "drop" they mean it will go back down to the only slightly crushing price of $2.40/gallon :rolleyes:

Isn't it amazing what we become accustomed too? It wasn't all that long ago (7yrs) that I paid 94cents for a gallon of gas! And that's up here in Northern NY, where it's almost as high as CA.

I'm always of the mind set that these little run-ups in price are to set a new "low" price that we won't scream about. Does anybody but me think that the oil companies are robbing us blind?!:mad:

Check out this link: http://www.westegg.com/inflation/

It's a cost of inflation calculator. I have heard that the price of gas hasn't kept up to the rate of inflation so really we've been paying less for it. I haven't done the research,but if you can remember how much gas cost in a certain year, you could figure out if it is more or less than the rate of inflation.

What cost $1.00 in 1980 would cost $2.54 in 2005.
Also, if you were to buy exactly the same products in 2005 and 1980,
they would cost you $1.00 and $0.39 respectively.

I personally think were all fooling ourselves if we think gas prices will be what they were 6 months or a year ago.

Its all about supply and demand and China wants it and so does North America along with a number of other countries. Until we as consumers start looking at how we are heating our homes and at what we are driving and how often, gas prices will not fall any large amount.

Until we realize we can't have big vehicles and 2-3 per family, along with some pulling huge campers or motorhomes and until we realize that we can live with our temps in our homes much lower than 70 degrees in winter, nothing much is going to change.

If it does, I'll eat my hat!!! :toothy:

Just my thoughts.

btw - I forgot.

I talked to a service station owner on Friday and asked him if he thought gas prices would ever lower again. Were now at 99.9¢ a litre ($4.00 per gal) and he said if it does we probably won't see much more than a 10 cent drop. He said he'd be awfully surprised if it went much lower.

He also said that it wasn't affecting his business too much YET, however if it went to over $1 a litre, it definitely would. Right now its $1.04 in Winnipeg.

I don't know...I sure hope the drop some soon. Yesterday, though, they went up 8 cents while I was filling up :rolleyes:

Until we realize we can't have big vehicles and 2-3 per family, along with some pulling huge campers or motorhomes and until we realize that we can live with our temps in our homes much lower than 70 degrees in winter, nothing much is going to change.

I agree CJ. We, as huge consumers of oil, need to change our habits and lifestyles a bit to make a difference. I walked to work this morning and left my car at home. It's only a start, but it's something and I feel better about it.

I wish our Gas was as "expensive" as yours:D We are currently paying about $6.58 yep a whopping $6.58 a Gallon ( at current rates of exchange)

In the UK I think our Fuel prices are the most expensive in Europe and certainly WAY more expensive than North America and Australia, but if we want to run a car we have no choice but to pay and try and cut back in other areas.

Karen

Originally posted by PrairieRose
I'm always of the mind set that these little run-ups in price are to set a new "low" price that we won't scream about. Does anybody but me think that the oil companies are robbing us blind?!:mad:

SOMEONE is that is for sure. Yes, I think it is a way of getting us "used to" a new comfort zone. YUK.

Originally posted by homesteadmamma
I personally think were all fooling ourselves if we think gas prices will be what they were 6 months or a year ago.

Its all about supply and demand and China wants it and so does North America along with a number of other countries. Until we as consumers start looking at how we are heating our homes and at what we are driving and how often, gas prices will not fall any large amount.

Until we realize we can't have big vehicles and 2-3 per family, along with some pulling huge campers or motorhomes and until we realize that we can live with our temps in our homes much lower than 70 degrees in winter, nothing much is going to change.

If it does, I'll eat my hat!!! :toothy:

Just my thoughts.

WELL SAID! We have been horrible spoiled (and selfish) about our use of natural resources. When Jimmy Carter was president he tried to warn us that this day was coming and we have not paid attention to others who have had the same warning. Its a wake up call --- and we'd better pay attention this time.

I don't think they'll be going down. Our local news stations are reporting that they will continue to rise here and will be $3 by the end of the year.

I was telling dh last night that our nation messed up long ago regarding all this. Our govt. HAD better start paying attention!

I to,heard it was going up again.....it's $2.45 here.

We are currently paying between $1 and $1.10 per litre. Going on the average of $1.05 that makes our fuel the equivalent of US$3.23 per gallon.

We gave up our large car about 10 years ago and we now have a very fuel efficient four cylinder car that I fill up for around $25. That tank usually lasts me for a week, sometimes more.

You're right, CJ. North America is the largest consumer, by far, of oil products. Apart from the environmental and financial cost of that, there really wasn't a problem until now. The new player in the equation is China, soon to be the world's superpower. They are sucking up as much oil as they can lay their hands on. They have a growing economy based on a mind blowing population of 1,306,313,812 (in July 2005) and they are building a western style ecomony. That means tons of factories, high rise buildings, shopping malls, cars, etc etc etc. (Depressing, isn't it?) China has a 20 year building plan, so I doubt the price of fuel will decrease any time soon.

Originally posted by forestdale
The new player in the equation is China, soon to be the world's superpower. They are sucking up as much oil as they can lay their hands on. They have a growing economy based on a mind blowing population of 1,306,313,812 (in July 2005) and they are building a western style ecomony. That means tons of factories, high rise buildings, shopping malls, cars, etc etc etc. (Depressing, isn't it?) China has a 20 year building plan, so I doubt the price of fuel will decrease any time soon.

I agree 100%.

You know what's crazy? We live between 2 huge refineries in our area. Our gas is about $.25 per gallon more expensive than it is where they have to haul it to! We are always so miffed about that. We literally live next door. We get the same gas that costs $.25 more from the same tanks. Ggrrrhhh. Another thing to consider is.....has anyone noticed that the oil companies profits are up in the BILLIONS of dollars per quarter now? PROFITS...... . I mean, ok there may be a lot of demand on the supply but that doesn't explain why in such times the oil companies prosper (to the extent that they are) while the rest of us suffer.

Quiltermom--- AARP just stated that gas here on the west coast will most likely hit 3.00 a gallon too by the end of the year.... YIKES:eek: :eek:

Yes, the fact that gas prices are so high is upseting. Look at the bright side, would you rather be traveling in a horse and buggy? And, at least we have cars that we can fill up with gas. There are a lot of people that don't have a car to drive.

I drive a small, economical car so the gas prices don't affect me too bad. I have a 11-12 gallon tank and I use to fill up for $16, so now I'm paying between $20-25. I'm sure glad I don't have a big SUV.

Shopgirl, right now I think I would prefer having a horse and buggy. :toothy: It costs us $100 to fill up our van.

Why do we have a van. We have 5 in our family, 2 of whom are over 6 ft, one 6'4" tall. If we could we would have a small car.

I remember years ago when most people had small cars, then slowly the big cars/SUV's came along and pretty soon thats what most people were driving. We forget quickly the years past when there was a shortage of oil and we had to change our lifestyle. Once that predicted shortage was over, everyone forgot what it was like and and bought the big cars/gas guzzlers.

Its interesting because dh was talking to a station owner yesterday and he said people were still lining up to get gas at $1.04 a litre (over $4 gal) and it hadn't slowed down a bit!!!! Wonder how high its going to have to go before many people begin to realize they have to cut back.

The horse and buggy is not a bad idea! LOL We just bought a '90 Ford Festiva yesterday evening for hubby to commute in. The gas gauge doesn't work and we went to fill it up at the gas station and it only took $8 compared to $55 he had been putting in his truck. Of course, it was already half full but that was the least amount of gas we have spent in years!!! I think I am going to love that car! I have our truck and boat listed on craigslist.com. Our budget was really tight to begin with and with gas prices rising we are having to sell some stuff.

I would love to have a horse and buggy! :toothy:

We too have a van (minivan). With 2 adults, 1 child (soon to be 2), 3 med./large dogs, and 1 cat plus 6 months of the year that we have to stay on alert for possible hurricane evacuation, there's no way we could have a tiny car.

I noticed yesterday on my way home from an appt. and errands that gas had gone up another 5¢ from Monday.