The good in rising gas prices

**bluebird728** · 05-26-2008, 10:04 AM

I suspect that this is going to make me very unpopular.

I think there is a lot of good to the rising gas prices. The reason for this opinion is my observation of our extreme wastefulness of a limited natural resource. I find huge SUVs, wasteful gas burning toys, drives to nowhere, no decent public transportation, etc, etc, offensive. Those use up a valuable resource for entertainment and create waste in the air that we all have to breathe.

I know, in general, this is not a wasteful group. But there is so much of buying stuff simply because it is there and cheap, using stuff up without even thinking about it, and not caring what we leave for the future that is it frustrating.

On the one hand I recognize that it is very hard to stretch the budget, on the other conservation is a good thing. If it takes rising prices and short term pain as we make adustments to make that happen, then perhaps rising gas prices is not such a bad thing for the long term.

**hippytreehugger4ever** · 05-26-2008, 10:38 AM

I actually completely agree with you. Unfortunatly, people are still driving SUV's around here (I don't know how).

**Marie78** · 05-26-2008, 10:53 AM

Most people I know drive SUV's or trucks. My fiance and I are "odd balls" because we have small cars that have good gas mileage. We live in an area that gets snow for almost 6 months of the year and those larger vehicles handle better than ours in the snow. I don't know how people are affording to still drive their large vehicles though. I have had my small vehicle for 6 years and I hope it lasts me another 6 years until there's either a better less costly fuel replacement or better public transportation is available to us

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**Dad_of_4** · 05-26-2008, 10:59 AM

The thing is people are no conserving that much, they are just cutting back in other places. Eating out less or at cheaper resturants and staying at cheaper hotels. The problem is prices are going up too fast just like with housing. Eventually there will be a bubble pop and it will mess with the economy in a totally different manner. When the bubble pops ethonol will no longer be economically smart even with subsudies. This will cause a excess supply in food and prices will plummet. In turn some farmers will go broke and farms that have been around for generations will be sold of to corporate farmers or for development.

**Ivonna** · 05-26-2008, 12:13 PM

I just wanted to say that most people can't stop driving their SUV's. I see all the time people commenting that they can't believe people haven't stopped driving their gas hogs. There are several reasons for driving them. Maybe their family doesn't fit in a small economical car. Maybe it's the only vehicles they own. Right now, it's about impossible to sell a gas hog and most people don't have the money to go out and buy a smaller vehicle unless they sell the one they own. They are pretty much stuck with what they have. So, I really don't think it's a case of everyone not caring, (although I am sure there are those like that out there) I think that there is nothing they can do about it.

For our family, we are trying to conserve gas as much as possible. We don't make any unnecessary trips and we always call immediate family and see if they want us to pick anything up for them while we are out. They do the same for us. I do think people need to start thinking more of the future like you stated, but I also think a lot of people are stuck in a rut due to financial circumstances. Whether those circumstances are from debt stupidity or because of their income level.

Ivonna

**bluebird728** · 05-26-2008, 12:32 PM

I totally agree that many, if not most, people are still driving their SUVs. Also, that they are cutting back in other areas to pay for gas. That is the short-term pain.

In the long term - when people buy new cars they won't be SUVs. There is currently an upswing in the number of smaller cars being purchased and fewer are buying big vehicles. Also, people are starting to look at alternatives such as bicycles, carpooling and public transportation. The prices are going up very quick, but we will be slower to change behaviors.

As far as a bubble - I just don't know. It is pretty complex. Yes there are speculators, but real demand is higher due to emerging markets and supply is not growing much. Also, a big factor is the decline of the US dollar largely due to low interest rates. In relative terms we just cannot buy as much on the world market. I suspect that the higher prices are here to stay.

**dhmunoz** · 05-26-2008, 08:45 PM

2 years ago I bought a Toyota Camry because of the rising fuel prices. My car gets excellent gas mileage. My husband had an older Toyota Corolla until just recently. We have 5 kids so obviously we all don't fit into either car. Our solution was to either take both cars (still cheaper than a van or SUV) or some of us just stay home...depending on where it was we were going. Obviously if it was a family event we'd take both cars but if it was just a shopping trip, the entire family does NOT need to go.

**Athena31** · 05-27-2008, 12:01 AM

Not an unpopular view, at least not with me, just a veiw form a different perspective. I wish I could cut back more but I have to go to work and that is my big gas eater each week!

**The Muse** · 05-27-2008, 09:39 AM

I've always loathed SUVs. I think they're dangerous for smaller vehicles and the bigger ones should require a special class of license. I realize that some people live in an area where they're necessary, but going to the grocery store in the suburbs is not one of those places. My sister has 4 kids and drives a Neon, yet I hear people with 1 or 2 kids say that they need the space of an SUV or mini van. I don't get it.

Hopefully these gas prices will eventually snuff out SUVs and smaller cars will become the norm again.

**tammy88** · 05-27-2008, 09:43 AM

well i look at it this way..and im in no way politcal or know much about politics and how the govt works..but if our country did more for itself instead of everyone else and used our own resources..i think that would help us. we were supposed to be a free country to do what we wanted and some people want the big suv's some people have large families and need bigger vehicles..some bigger people cant drive little cars..lol

1.) i hate to sound racist but if the govt would stop letting in so many foreigners legal or not then their wourldnt be so many people burning it up..and their might not be a so called "shortage"

2.) i honestly dont believe in "shortages" i think it a way for the govt to make more money to waste on uneccessary things. how many times have they pulled this. there are other places here they could draw oil from but dont, they perfer to pay for it from countries that dont even like us, so we are making it easier for them to afford weapons to kills us..sorry jmo

3.) the gas companies are making billions off of the so called "shortages"

4.) we work hard and should be allowed to purchase what we want..yes pollution is a problem but the studies say (this is what i heard anyways) that no matter what we do to be green the damages is already done, nothing we do now will help enough to make a difference...sad but i believe that.

5.) we shouldnt have to give up suvs or whatever because of the gas shortages if people want to pay for it let them..but some people bought suvs when the price of gas was .99..my mom bought her suv it was .99 its now paid for and she doesnt want another montly payment. us we cant afford another vehicle and arent allowed to purchase one because of the ch 13 we are in. price of cars are going up too..

there are just so many factors involved..every has the right to have want they want, thats why we came here hundreds of years ago, the sad thing is, this is no longer our country

**Greebo** · 05-27-2008, 10:02 AM

Originally Posted by tammy88

well i look at it this way..and im in no way politcal or know much about politics and how the govt works

I submit respectfully that it is in your best interest to educate yourself. Quickly.

but if our country did more for itself instead of everyone else and used our own resources..i think that would help us. we were supposed to be a free country to do what we wanted and some people want the big suv's some people have large families and need bigger vehicles..some bigger people cant drive little cars..lol

I agree with you, but I hate to point this out, some of your points below are contradictory to this one.

1.) i hate to sound racist but if the govt would stop letting in so many foreigners legal or not then their wourldnt be so many people burning it up..and their might not be a so called "shortage"

If this is to be a free country, how is keeping people from coming here encouraging freedom? (If, on the other hand, we eliminated the social welfare programs which force taxpayers to pay for non-tax payers, the draw for illegals would only be to those who want to come here and WORK - not mooch.)

2.) i honestly dont believe in "shortages" i think it a way for the govt to make more money to waste on uneccessary things. how many times have they pulled this. there are other places here they could draw oil from but dont, they perfer to pay for it from countries that dont even like us, so we are making it easier for them to afford weapons to kills us..sorry jmo

You are very close to a very important truth here - the more Government meddles in the economy, the more the damage. Government has meddled in the oil industry for 30+ years, and now the chickens have come home, but government wants to sit on the moral high horse and point the finger of blame at the oil execs and pretend that they themselves are innocent.

3.) the gas companies are making billions off of the so called "shortages"

The gas companies are making about an 8-10% margin of profit. This is a very low margin for such a big company. They make about $0.40 per gallon, while Government makes well over a dollar. Further, that profit can go towards R&D into alternative energy sources. When they were making $0.08-$0.10 per gallon, they had no budget for such research.

Finally - why shouldn't those who receive crude, process it, package it, and deliver it be entitled to profit from their work? Are they not free to benefit from their labor in this free country?

5.) we shouldnt have to give up suvs or whatever because of the gas shortages if people want to pay for it let them..but some people bought suvs when the price of gas was .99..my mom bought her suv it was .99 its now paid for and she doesnt want another montly payment. us we cant afford another vehicle and arent allowed to purchase one because of the ch 13 we are in. price of cars are going up too..

Very astute- those who bought gas guzzlers are paying for it now with the higher prices. Result? SUV sales and truck sales will decline. The market *will* correct itself, but its a huge market, and like an ocean liner making a turn, markets don't fix themselves overnight, they take time. Government can't accelerate that, only hinder it.

**Kitchen Mama** · 05-27-2008, 01:21 PM

I don't particularly care for the suv's and such---but they make more sense to me than the big motorhomes and boats. At least you can drive an suv to work!

**Southlake** · 05-27-2008, 01:26 PM

When I moved here, I had no choice but to buy an SUV. We lived outside city limits, at high elevation, where snow was deep, come on quickly, and we were the county's last priority for plowing. With that in mind, I not only needed 4wd, but some pretty good clearance to get to and from work in the winter.

Now we've moved into town and there's still a lot of snow. I know a lot of people that just drive 2wd cars with studded tires, but it's not for me. It's never felt safe, it's never felt really all that secure to me. Not to mention, when the weather gets really bad, I'm normally giving them rides to work! Even then, I would love to trade in my SUV for a suburu or something with AWD instead. But, it really isn't an option. Because it isn't paid off yet, trading it is only going to cost me money because it's no longer worth the amount of the loan. (Which is why I would love to pay cash for cars... but we're not there yet.) I'd rather wait till it's paid off.

I know that most people don't need to drive their SUVs, but it does get frustrating to get lumped in with them. I once has a lady at a gas station ( I was in the Bay Area visiting my mom) tell me that my greed and desire for status was killing the earth, causing the war in Iraq, and increasing gas prices for everyonelse. (I told her that my house was covered in 9 feet of snow, and while I would love to see her little Metro try it, I wasn't going to tow her out)

**PAVallygrl** · 05-27-2008, 03:06 PM

The idiots next door to me just bought a new Truck which gets a big whopping 12 miles to the gallon. They bought their house 1 1/2 years ago with $0 money down and an ARM then loaded it up with all the most expensive toys (2 Big Screen TV's, 2 VCR/DVDs, Wii, Bose Surround Sound Systems (2 of them), that "Become a Rock Star" thingy, 3 motorbikes in 1 1/2 years, a new puppy for $900 about 2 months ago, got rid of a GTO (cause they needed the money as they said), got an SUV, got rid of that SUV and bought the new Truck, Oh yes only the Best and all the Toys for these ones!. And the wife "had to" go back to work (for $12 an hour NO benefits) last fall and put the 1 1/2 year old in day care from 8:30am to 5:30pm at a whopping $650 a month and now to top it all off SHE'S PREGNANT AGAIN!

Yep, Keep up with those Joneses! hahahahahaha

**jkelstaten** · 05-27-2008, 03:20 PM

We have a minivan. We have three kids (all in car seats and boosters) and only one vehicle (no means to buy a second). We also give people rides frequently for church purposes and there are also weeks such as this one where I have four of my nieces and nephew with us. So a larger vehicle is a must for us. I hate the gas prices as much as the next person, but we definitely wouldn't manage all that with a small car.

That said, we try to carpool when we can, I do all the errands I can in one trip and if we can walk to a destination we do. My husband frequently rides his bike to the nearest Metro stop to catch it into town so we don't have to drive the van.

People can conserve to a certain level, but when others are being greedy by jacking up the prices there's not much we can do.