Paying More At the Pump

SS Member Image By drodriguez 06.02.08
Paying More At the Pump

With summer just around the corner many of us will be packing bags, getting ready for a much-needed vacation. Whether it be a week away or even just a day at the beach, the price of gas will most likely enter your mind immediately as you begin to build a budget for your trip. With the soaring price of fuel these days, just getting to and from work or the grocery store may be putting a big dent in your monthly spending.

A recent article from CNN tries to answer the question of who or what is to blame for $4 a gallon gas this summer. Astonishingly enough, gas prices from 1999 were at around 90 cents a gallon. How did we get to more than 4 times that in such a short amount of time?

One of the biggest reasons for the higher prices is simply supply and demand. While we are finding and procuring less oil, we are using it more than ever. The reason we are using more now is partly due to the low prices from the 1990’s.

The gas taxes in the 90’s were very low in the U.S. as compared to other developed nations and this encouraged more consumption. It made it seem sensible for a small family to purchase vehicles like big trucks and SUV’s that need a lot more gas per mile than an average car.

Stephen Schork, publisher of the industry newsletter the Schork Report, explains, “Our demand has skyrocketed, but our ability to supply that demand has stagnated.”

To see a timeline of events that could explain the high gas prices we are faced with today you can go to:
http://money.cnn.com/2008/05/20/news/economy/gas_price_history/index.htm?postversion=2008052010

Why do you think gas prices have gone up so much in such a short period of time?

What kind of an impact will the cost of gas prices have on your summer plans this year?

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  • MBattistella By MBattistella
    07.15.08  

    I'm sure that we have all heard on the news how the current administration is trying to push the drilling offshore, but if you look at the reality of things, we won't be able to do anything with that for another 3 years or so, plus it won't make that much of an impact on the supply. It will have definitely have an effect on our environment. We need to get real with ourselves. If we, the people of the U.S, want to stay as the most powerful country in the world, we need to get real about this whole oil situation. We're suppose to be the leaders right? How about some innovation, can you imagine if someone created/designed a vehicle that ran without gas? Why hasn't anyone done this??? After a hundred years you would think we could come up with SOME sort of alternative.

    Sometimes it seems like we are all running in one place. We need our own industrial revolution over here, because China right now owns most of our currency. China is lending us money to cover our deficit spending, we're talking trillions of dollars. The way oil is valued globally is based on the us dollar. As the value of our dollar drops, then the price of oil goes up. Right now, one Euro is worth $1.60 of our money.

    It's depressing to see this great country degrade in such a short time: 8 years I think?

  • aridubber By aridubber
    07.15.08  

    I am utterly disgusted by the painful pump situation plaguing our country and the world at large. When I started driving in 1999 the price was roughly $1.17 a gallon. When Bush took office, the price of gas was $1.42 a gallon...on my last fill up I paid $4.07 a gallon...which added up to over $40.00 to fill up my small fuel efficient car. Every time I have to fill my tank I want to throw up. I work hard and I need to drive to get to work...I teach for a rural school district where public transportation is not an option. Something needs to be done to ameliorate this blight on our nation sooner rather than later. Bottom line REGISTER TO VOTE and make your voice heard! WE NEED CHANGE AND WE NEED IT NOW!

  • msfriendly By msfriendly
    07.13.08  

    Make sure to go out and vote for the candidate that you feel will get us out of this situation! Not only in presidential years but at your state level. I always believe that if we complain, it should be to someone who can do something about it! Let your voices be heard, girls!

  • patybluetx By patybluetx
    07.10.08  

    This is affecting us too. I don't think there is anyone not affected by gas prices. At this point every industry is being affected so all households are having to make adjustments. The way we're dealing with it is by saving money for more eco-fliendly and less gas consumming vehicle and we do errands in bulk once every other week.

  • diannalynn41 By diannalynn41
    07.09.08  

    Gas is up to 4.29 here Oh but wait to help us they raised minimin wage to 6.55 per hour LMAO who do they think they are kidding?OH and i dont want to forget about that big stimulus payment to boost the economy LMAO again mine went to help with my bills that i am struggling each day to keep up with. I just dont know how us minimin wage workers are going to hold out much longer with the gas and food prices..And then they want us to send food and money to other countrys ,now dont get me wrong i believe in helping others and the less fortunate but when will our goverment start to help us the american people? We are in BIG BIG trouble I dont know the solution but we need to do something before its to late.

  • maxandlucy By maxandlucy
    07.08.08  

    Limited supply, too high a demand, too few holding "all the cards" seems to be the ticket. Why are'nt hydrgen fueled cars being made like crazy now???? I hear they already exist in small number and in other parts of the world being driven now.

    The high cost of gas has definitely limited our travel plans for the summer! We travel only for important family/friends get togethers.

  • rripcordd By rripcordd
    07.08.08  

    We need to conserve more, find our own, and find alternative power. If we don't do all of these things we will always take the risk of being right back were we are right now.

  • pinka By pinka
    07.08.08  

    Something needs to be done with the rise of gas prices. Not only that, everything has gone up except the salary. The salary needs to be raised so that we can keep up with going up prices. We recently paid off some bills, with prices going up and not the salary we are having to budget tightly again. I know there are others that feel the same. It's not easy, especially if you have kids. I hate pulling back on things that make my kids not understand the prices of things.

  • scooter64 By scooter64
    07.08.08  

    OK, we of the USA are so far behind. I remember discussions of oil problems 30 years ago. So what happened....Nothing. Congress is still going over the same thing, over and over again. But it looks like China will be drilling 60 miles off the US border...and they won't be drilling straight down, they need to drill under the USA mainland to reach each....mmmm? I consider myself a moderate activist....but let's get going. We should be drilling for oil, and advancing our nuclear power. It's interesting that the Governor of Alaska is suing the US government and they, the Alaskan people joined the USA to be an active partcipant in this situation in regards to drilling in the area of Anwar... and only in the winter with absolutely no impact on the environment.....we all better get busy and learn how to really voice our opinions. Including myself.

  • Agratgrl By Agratgrl
    07.07.08  

    I don't understand why the government cant put some sort of "freeze" on big oil. They have been making record breaking profits (in the billions) each quarter! That tells me that they are grossly inflating their prices. I'm all for one making a buck, don't get me wrong, however, this is outrageous!

  • Krystal50 By Krystal50
    07.07.08  

    When will this ever stop??? The rich get richer the poor get poorer.

  • dajaquez42 By dajaquez42
    07.07.08  

    It is so sad that the cost of fuel has trickled down and has affected everything in our life, for instance this year we are not able to take a vacation and that is the reward that we usually give my boys for behaving and having good grades, also went to the grocery store yesterday and three full days of meals were $80.00 dollars, the 1/2 gallon milk went up to $2.89 from $1.50, the hotdog buns went up from .49 to $ 1.14, Potato chips 2 for $3.00 to $2.99 for one bag, loaf of bread from .59 to $ 2.64 and if it is not bad enouph our electric bill went from $120. last month to $320. this month and all the company said was that because of markent fluctuating their prices would change every day, oh but they were quick to let me know that if is signed a 3yr cont the could give me a better rate lock in for the next 3yrs, i can go on and on, this is sad, when we are on a fixed income, no government assistance, work two jobs both spouse and i, live in south texas. We paid some bills down with stimulus rebate, and figured we could breath a little easier, but now we are spending this money just to get to work and back. this is so sad bottom line everything has gone up except our paychecks.

  • bbred57 By bbred57
    07.06.08  

    A lot of it I think has to do with Bush in the Whitehouse. I mean the man is in Texas oil and you do not seriously think he is going to do anything about the price of oil while he is head of our country. Secondly, there are alternates out there but the gas and oil companies do not want them to be used or explored more because that would take away their big profits. As far as our vacation plans this year, we are taking one but we will be using our trike and exploring our state with it. This cuts down on the gas costs for us and we get to explore the outdoors and have fun.

  • Indigoblue By Indigoblue
    07.04.08  

    I remember reading articles long ago on experiments for alternatives to oil...I believe the powers that be--made huge mistakes by not following up on alternatives...as well I do believe the prices are manipulated by large investors and we get little if no actual/factual information as to why...its very sad for charities...people who are really going without.

  • lisawest0120 By lisawest0120
    07.01.08  

    The United States was a God-fearing nation in the past. That is why we prospered. Now that we, as a country, leave God out of everything, we cannot expect to be a prosperous nation. We should "seek first the kingdom of God" then prosperity will follow. It is not going to get better unless we learn to reverence our Maker again.

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