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Discussion Starter #1
Just some randomish thinking...

Oil is above $56.00 a barrel, but not everybody is in pain yet. I saw an SUV parked outside of a 7-Eleven with the engine running. The driver was nowhere to be seen.

Eventually, I think we'll see it in phases. At some point, people will begin to shut their engines off when stopped for any length of time. And at another pain-point, they won't be going to 7-Eleven, in favor of less-expensive shopping alternatives.

What's your pain threshhold? At what point do you begin to hurt? I think most people think in terms of "tank price." Miles per gallon and dollars per gallon are not really "real" to most people. But filling up a Ford Excursion's 44 gallon tank of gas at $2.03 will cost you $89.32.

Now that's REAL money!

At $2.55 (where gas is in some states), that same tank will cost you $112.00 . Does that hurt yet?

One day, when (yeah, WHEN, not "if") gas costs $4.00 a gallon, that same Excursion will require $176.00 to fuel. Feeling a twinge of pain now?

What is a typical Excursion driver's pain threshold, I wonder?

And is my theory feasible? Is there a "shut the engine off" pain threshold, and a later "sell the gas-guzzler" threshold yet to come?

Of course, this may be a moot discussion. Most economists know that from oil comes ...well, EVERYTHING. Any sustained increase in the cost of oil will drive up costs of EVERYTHING. It's like an unavoidable tax increase, or the raising of interest rates; it makes EVERYTHING cost more, not less.

Eventually, the economy must accomodate this "taxing" cost, or the economy will contract accordingly.

Contraction means bad things for people who have to WORK for a living. I wonder, does the average Excursion driver work for a living? I can't imagine that they're all independently wealthy, can you?

Okay, now my brain hurts. It's either too much thinking, or not enough coffee. Give this some thought while I go make a cup...
 

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I feel your pain :-(

I paid $2.15 for my last tank...highest price since I got my Prius.

My Prius averages 52 mpg on my commute.
My commute is 750 miles a week.
There are 52 weeks in a year.

So a $1.00 per gallon increase in fuel prices will cost me..

52 weeks * (750 miles / 52 mpg) = $750.00.

What else could I do with $750.00

I could make 1.75 car payments
or
I could send my kid to college for 2 weeks.
or
I could get 1/4 of my dental work done
or
I could enjoy a weekend getaway with my wife
 

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BIF said:
Just some randomish thinking...


Okay, now my brain hurts. It's either too much thinking, or not enough coffee. Give this some thought while I go make a cup...

I've been thinking. And waiting for the coffee. Is it about done yet?
This price spike in oil of recent...I wonder if it may be a manufactured thing. I wonder if people in positions of power are trying to turn the ship and are jacking the prices around to build support for the job that needs to be done (or started). They certainly have been able to keep the price artificially low when it suited their political needs.
 

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Discussion Starter #4
Yup, it's almost done. I hope you don't mind Folgers. My last bag of Barnie's Hazelnut was over-roasted, I think. Yuck. So I went with a big can of Sam's Club's best deal this time.

Well, some people are certainly getting closer to their pain threshold. $3.00 in Malibu. Here'sthe article.

On the other hand, gas is still cheaper than a cup of Starbuck's. How weird is THAT?
 

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BIF said:
On the other hand, gas is still cheaper than a cup of Starbuck's. How weird is THAT?
Gas is still cheaper than bottled water, too. What is water, about $1 a liter or so in the convenience store? Maybe more. More than that if you get it from a vending machine. As much as $1.25 a pint for Poland Spring in the vending machine here at work. Scary. :?

I guess we should be glad we don't have to fill the car with bottled water.
 

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engine running

Perhaps the SUV owner was trying to make it easier for someone to steal. These days, no one with half a brain would consider stealing a gas-guzzler...I remember the 70's energy crunch.
 

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Discussion Starter #7
Re: engine running

leebek said:
Perhaps the SUV owner was trying to make it easier for someone to steal.
That's very funny! But how would a thief know that it had a full tank?

I know, a twist on the old "no radio" signs that people used to put in their windows: "Full Tank"
 

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Most of that is tax though. Look at the bright side, if oil doubles it'll go up by $1 a gallon for you - to $7. Here it'll go up by $1 a gallon too...to $3. So relatively speaking....ours goes up a higher %.
 

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pain threshold: ours or theirs

I do not think that drivers of high-consumption autos will feel the pain. If they did we would see a trend toward slower driving speeds and this is not yet happening. I just made the annual 1100 mile trip Savannah to Cape Cod and I set the cruise at the posted limit. There was no one else doing the limit and it has been proven and well publicized that driving slower will improve gas mileage. I truly think that Americans would rather go into escalated war situations rather than modify their driving style.
I did enjoy the television news article about activist Japanese who go out into traffic intercections with placards that encourage drivers to shut off their engines during the red light cycle. They were so polite as they bowed to the car drivers.
What are your thoughts...
 

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For a conventional car and depending how long the light is, you could use as much if not more fuel restarting the ICE as you would just letting it run during the stop.
 

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California Tax Payers should now revolt cause those crazy prices out there are not for the gas but for the state.
Massachusetts is not a low tax state and here gas is now $3.12/gal. I would guess gas in Georgia is less than three dollars.
(I don't think they mean these types of charges when they are speaking about "states rights.")
 

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I live in Wisconsin a tax payers hell. We have the second highest gas tax in the nation.
Gas cost $3.45 a Gallon here, and seems to be going up 5 to 10 cents every week.
By the time summer comes around we should be at about $4.00 a gallon or more.

Then the new target for next year $5.00 a gallon?

Most of the price increase is due to the devaluating U.S. dollar, and increase price of oil. Price increases are due to short supply caused be high market demand. You got a lot of people trying to buy the same barrel of oil.
 

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hyperion said:
California Tax Payers should now revolt cause those crazy prices out there are not for the gas but for the state.
Massachusetts is not a low tax state and here gas is now $3.12/gal. I would guess gas in Georgia is less than three dollars.
(I don't think they mean these types of charges when they are speaking about "states rights.")
California taxpayers are already revolting... :roll:
 

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If you want to know the average price of gas for a state, it's posted on the following website.
http://www.fuelgaugereport.com/sbsavg.asp

What determines the price differance between states are. Transportation cost, and refinenery opperational cost, and of coarse differances in tax rates.

So Wisconsin has one of the highest gas taxes so fuel cost more than let's say Alabamah.
Non of the states have gas below $3.00 a gallon.
 
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