2007-2008 Crude Oil Cost

[CDeb]

I think it's all really about a fuel-efficient, 4-cylinder engine. Or even three-cylinder:

http://www.usatoday.com/money/autos/2006-0...-car-usat_x.htm (old article, but timely for our discussions).

I haven't changed my driving habits one bit. Still driving the hell out of my 4-cycl economy car, getting great mileage. Also, no need to worry about door dings, washing it, theft, changing the oil (it uses just enough oil so that 1 quart in, 1 quart out/consumed on about ~5K schedule - and I am still coming out ahead, even burning oil.) I can drive slow, fast... still about the same mileage. No need to drive like grandma on the freeway. Full speed ahead (for me)...

There are plenty of other places in your budget you could cut, to get that meager $25 to $50 savings per month... plus, you wouldn't have to "worry" so much with all that entering of data, tracking, line charts, and pie graphs in Excel. Gas prices jumped from $3.50 to $3.65! The world is going to end. That doesn't mean we shouldn't look for better long term solutions... we should...

I am a cheapskate. It's how I got to where these rather large gasoline price increases haven't affected me. That doesn't mean I can't be a cheapskate on gasoline, too.

[RedScare]

I focus my "cheapness" on trying to be efficient and just use less gasoline, period. If everyone reduced their gasoline usage by 10%, this thread may not exist.

This is very true. Just because one can afford to be wasteful, doesn't mean one should be wasteful. I believe gluttony was one of the 7 deadly sins. Gas gluttony is no different.

I'm not sure if I mentioned it earlier, but I do not pay for my gas. It is reimbursed by my employer, one that happens to be a government entity. I could leadfoot it, and it wouldn't cost me a dime. I only tuned up the car and slowed down my speed out of a slight consideration to the taxpayers (as well as a huge curiosity whether it would have a noticeable impact). I'm not asking for any pats on the back, but at the same time, insinuating that those who do not waste resources like you do must be poor is a bit insulting, and smacks of a guilty response, similar to those who castigate environmentally responsible people as tree huggers.

It was reported on NPR this morning that gas usage in the US is finally declining, due to less driving and the poor economy. The resulting moderation in gas prices will benefit the leadfoots more than the lightfoots. Remember that the next time you want to brag about your gas gluttony.

(Note: this post is not meant for CDeb. I merely quoted his post.)

[lockmat]

I'm not sure if I mentioned it earlier, but I do not pay for my gas. It is reimbursed by my employer, one that happens to be a government entity. I could leadfoot it, and it wouldn't cost me a dime. I only tuned up the car and slowed down my speed out of a slight consideration to the taxpayers (as well as a huge curiosity whether it would have a noticeable impact). I'm not asking for any pats on the back, but at the same time, insinuating that those who do not waste resources like you do must be poor is a bit insulting, and smacks of a guilty response, similar to those who castigate environmentally responsible people as tree huggers.

Not to get too personal, but does that mean you ended up taking that job with the city?

[RedScare]

Not to get too personal, but does that mean you ended up taking that job with the city?

County.

Oh, and yes, those are your taxes I'm saving.

[lockmat]

County.

Oh, and yes, those are your taxes I'm saving.

grazie!

In return, I will stay out of trouble and away from the law.

[houstonmacbro]

I am a cheapskate. It's how I got to where these rather large gasoline price increases haven't affected me. That doesn't mean I can't be a cheapskate on gasoline, too.

Cheap or not wasteful? I think there is a difference.

I tend to be somewhat frugal as well, but I wouldn't call it cheap ... I just know where I'd rather spend my money.

I'd rather drive 60mph or less (as opposed to 65mph or 75mph) to save money on gas (actually you get there at essentially the same time anyhow, so why go faster?).

[CDeb]

Cheap or not wasteful? I think there is a difference.

I tend to be somewhat frugal as well, but I wouldn't call it cheap ... I just know where I'd rather spend my money.

I agree, there's a difference. I'm probably some of both.

I'm also with you and knowing where I'd rather spend my money. I think we all have our areas where we "indulge."

[Pumapayam]

From CNN.com U.S. gas: So cheap it hurts

Cheap gas prices have also lulled Americans into a cycle of buying bigger cars and bigger houses further away from their work - leaving them more exposed to rising prices, some experts say.

Sums up the Houston residents perfectly. We love our big SUV's and drive them back and forth to our Spring/Katy/Sugar Land/Friendswood/Pearland sprawls.

Also they chart the latest gas prices/per country

Bogged down

Most expensive places to buy gas

Rank Country Price/gal

1. Sierra Leone $18.42

2. Aruba $12.03

3. Bosnia-Herzegovina $10.86

4. Eritrea $9.58

5. Norway $8.73

6. United Kingdom $8.38

7. Netherlands $8.37

8. Monaco $8.31

9. Iceland $8.28

10. Belgium $8.22

111. United States $3.45

Cruisin'

Where gasoline is cheapest

Rank Country Price/gal

1. Venezuela 12 cents

2. Iran 40 cents

3. Saudi Arabia 45 cents

4. Libya 50 cents

5. Swaziland 54 cents

6. Qatar 73 cents

7. Bahrain 81 cents

8. Russia 88 cents

9. Egypt 89 cents

10. Kuwait 90 cents

45. United States $3.45

155 countries surveyed between March 17 and April 1, 2008. Prices not adjusted for cost of living or exchange rates.

[ricco67]

From CNN.com U.S. gas: So cheap it hurts

Sums up the Houston residents perfectly. We love our big SUV's and drive them back and forth to our Spring/Katy/Sugar Land/Friendswood/Pearland sprawls.

Also they chart the latest gas prices/per country

Cruisin'

Where gasoline is cheapest

Rank Country Price/gal

1. Venezuela 12 cents

2. Iran 40 cents

3. Saudi Arabia 45 cents

4. Libya 50 cents

5. Swaziland 54 cents

6. Qatar 73 cents

7. Bahrain 81 cents

8. Russia 88 cents

9. Egypt 89 cents

10. Kuwait 90 cents

45. United States $3.45

155 countries surveyed between March 17 and April 1, 2008. Prices not adjusted for cost of living or exchange rates.

What you don't mention is how heavily subsidized gas is in some of those countries. I dont' know about Swazliland or Russia, but most of those cities are subsidized.

To show HOW subsidized:

Iran has no/little gas producing capability and has to get it from a neighboring country (piped in or trucked in, I forgot) and that is VERY expensive.

[RedScare]

I saw a few days ago that the GDP for the first quarter increased 0.6%, or about $80 million. If you look at just the top 4 or 5 US oil companies, you'll see that virtually ALL of the increased GDP comes from increased gas prices. ExxonMobil's revenue increased $30 Billion, Chevron increased $18 Billion, ConocoPhillips increased $17 Billion, Valero increased $17 Billion. Add in US revenue from Shell and BP, plus the smaller oil companies, and the economy clearly shrank other than oil.

[TheNiche]

I saw a few days ago that the GDP for the first quarter increased 0.6%, or about $80 million. If you look at just the top 4 or 5 US oil companies, you'll see that virtually ALL of the increased GDP comes from increased gas prices. ExxonMobil's revenue increased $30 Billion, Chevron increased $18 Billion, ConocoPhillips increased $17 Billion, Valero increased $17 Billion. Add in US revenue from Shell and BP, plus the smaller oil companies, and the economy clearly shrank other than oil.

That is not how it is calculated. Economists and financial accountants are like water and oil.

See below for a brief 27-page discussion of what GDP means and how it is calculated.

http://www.bea.gov/national/pdf/nipa_primer.pdf

[RedScare]

Yeah, I should have just pointed out that 0.6% growth when compared to the fake rate of inflation means we are in recession. Would have been quicker.

[TheNiche]

Yeah, I should have just pointed out that 0.6% growth when compared to the fake rate of inflation means we are in recession. Would have been quicker.

Yes, that would've been acceptable.

[houstonmacbro]

I agree, there's a difference. I'm probably some of both.

I'm also with you and knowing where I'd rather spend my money. I think we all have our areas where we "indulge."

I cannot pinpoint it, but I know that other items are more expensive these days. Trips to the grocery store (compared with say a year ago) are more expensive on average, but I cannot say energy costs are (I actually pay less for electricity with Ambit than I did with Green Mountain and my house is far more energy efficient than my old apartment for example), but yeah ... there has been a rise in costs.

I am not a miser (I've always been somewhat frugal), but I am watching outgoing expenses more and categorizing them as needs or wants more regularly.

[Pumapayam]

We're headed for $130, faster than I thought. There goes our economy.

At this rate, and with summer driving season and hurricane season creeping up, I bet we see the $130 per barrel milestone before the end of May.

$120 milestone passed.

[houstonmacbro]

At this rate, and with summer driving season and hurricane season creeping up, I bet we see the $130 per barrel milestone before the end of May.

$120 milestone passed.

And I was honestly thinking about making a poll that was gonna be "When will oil drop to $100/barrel" ... guess that wouldn't be so wise huh?

But seriously do we think oil could drop back to say $80 barrel?

[Pumapayam]

But seriously do we think oil could drop back to say $80 barrel?

Absolutely, right before the November elections, but until then, expect a nice ride this summer.

Thank god for the refund checks, all it will do is go to offset the higher costs of food and gasoline this summer.

That's about it.

[TheNiche]

Absolutely, right before the November elections, but until then, expect a nice ride this summer.

Gee, puma, do you think gas prices might rise in the summer and drop off in the fall for reasons other than politics?

[N Judah]

I cannot pinpoint it, but I know that other items are more expensive these days. Trips to the grocery store (compared with say a year ago) are more expensive on average, but I cannot say energy costs are (I actually pay less for electricity with Ambit than I did with Green Mountain and my house is far more energy efficient than my old apartment for example), but yeah ... there has been a rise in costs.

Milk is more expensive. I think eggs are, too. Cereal got really, really expensive a few years back and I thought it would go back down but it did not.

[houstonmacbro]

I'm thinking $200 by the end of the year or early next year. What you think?

[TheNiche]

I'm thinking $200 by the end of the year or early next year. What you think?

Just watch China. If they slow down, short oil.

It's that simple.

[houstonmacbro]

Just watch China. If they slow down, short oil.

It's that simple.

From everything I've heard, they are gonna grow even if they don't grow. And they recently made a stackload of deals with African nations so they have a lot of access to natural resources and human capital (if needed).

[TheNiche]

From everything I've heard, they are gonna grow even if they don't grow. And they recently made a stackload of deals with African nations so they have a lot of access to natural resources and human capital (if needed).

What is Africa getting?

[Pumapayam]

I'm thinking $200 by the end of the year or early next year. What you think?

Riots will take over before then and they won't be any markets or people left on the world after wars for oil end.

[Jeebus]

Riots will take over before then and they won't be any markets or people left on the world after wars for oil end.

Who's going to riot? It would be too expensive for me to riot.

[N Judah]

What is Africa getting?

Not much collectively, but a bunch of dictators will be rolling in it like the Saudis pretty soon.

[houstonmacbro]

Riots will take over before then and they won't be any markets or people left on the world after wars for oil end.

I think we're too complacent to riot. We get the shaft and don't even wince any more. I mean, we delicate flower and moan and then end right back at the pumps in our SUVs and trucks.

We won't even riot or march for a cause so doubt we'll be marching in the streets like the rest of the world over higher prices.

Not much collectively, but a bunch of dictators will be rolling in it like the Saudis pretty soon.

Yeah, not sure what the Africans are getting. Hopefully jobs and technology ... not sure.

I also read an article that the Indians are making a big play in Africa now too. Guess they don't want China muscling in on all the action...?

[jgriff]

I cannot pinpoint it, but I know that other items are more expensive these days. Trips to the grocery store (compared with say a year ago) are more expensive on average

Surely some of this is due to the fact that every single product in the grocery store is delivered in trucks that are having to pay a lot more for diesel these days. Plus pretty much all machinery that farmers use require diesel.

Our entire civilization is based on oil, people have been taking it for granted for too long.

[westguy]

From everything I've heard, they are gonna grow even if they don't grow. And they recently made a stackload of deals with African nations so they have a lot of access to natural resources and human capital (if needed).

Dealing with Zimbabwe and Sudan could also blow up in their faces. Investment in Africa comes with a lot of risks. Investment with the most brutal dictatorships is even riskier. Tanzania was considered politically stable with a vibrant economy a few months ago.

[Pumapayam]

$122 freaking dollars. . . sheesh!