Can you believe that in San Mateo, CA gas is over $5.00, now that is really getting ridiculous. I am on a fixed income and these gas prices are outrageous. i really dont understand how they can get away with that high of a price on gas. They really need to do something about this. People just barley make it and with property taxes going up to, people are losing homes and jobs, this is crazy!!

Well theres nothing the US Government or private industries in the United States can do to lower the gas prices significantly in the short term.  The gas companies such as Exxon Mobil could cut their profit margins, but that would only lower the price of gas by 20-30 cents assuming they took no new profit which meant no more investing in new oil fields.  In fact, the profit margins in the oil industry are much lower than similar businesses in the United States, but people automatically assume they are higher because of the “record profits”.

Therefore, the problem is the price of crude oil.  This can be affected by political instability in the Middle East, but the real problem is that demand is almost the same as supply.  The Saudis have said they are going to open up some new oil fields and export more oil, which combined with decreased demand in the US will drive prices down next year.  But we will run into this problem in a few years when demand starts rising again and passes supply.  At that point, its unclear if the Saudis will be able to increase their supply any more.  There are new oil fields in the oceans, but some of these would cost $200 a barrel just to break even, and crude oil at this point is $143.  We could also drill in the United States, but it would take ten years for the first oil to reach the pipeline.

So in short, high gas prices are here to stay in the long run.  Prices will fall late this year and into next year, and may not spike as high next summer, but after that I only see prices going higher.

Well its still crazy they didnt start to go up until after the war started. People are having a hard time as it is, and this just isnt helping. I myself am on a fixed income and the price of gas is about to kill me. I cant keep up and I am getting bored with having to stay home all the time. I am sure other people are to. Once the war ends maybe then the gas will get back to normal but who know how long that will take, I know they are shipping my niece out in about a month and a half to afganastan, so I dont think its gonna end anytime soon.

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Gas will forever be expensive. We just need to get used to it. As we adopt more alternative fuels we will rely less on crude oil, at that point the gas will still be expensive, but nobody will care. Get ready for a future where only the rich drive gasoline based vehicles.

It seems to be going that way, before long people who are on fixed incomes wont have any transportation because they wont be able to afford it. Unless the get alternative fuels more soon then maybe that wont happen. It’s crazy that only the rich will get gasoline, that will be weird to me. After awhile I guess we will get used to it.

IMO the US needs to adopt better public transportation. Then everyone would have a reliable source of transport no matter what kind of money you make. The public transit in Europe is so much better than ours. I wish the US would try to learn something from our Euro brethren on this subject.

Well all i can say is that if you lived here in the UK you’d really have something to moan about!

How much is it in the UK? I know its enough for me here, I just dont think its fair to the people to have to pay that much for gas. If the USA had better transportation then maybe it wouldnt be so bad, I just dont like to ride the buses here where I live and when I go grocery shopping that just wouldnt be the best way to go do it. I like to have my car but gas keeps going like this and I wont be able to afford to keep it.