coolhand49

Where Does Oil Go from Here?

Sanibel, I like your reasoning to a point - fuel efficent cars will help drive the conservation of GAS. However the underlying inflation factor is Diesel, which given the refinery mix in the US is underproduced. A serious drive to replace oil heat with electric would help offset this shortage as Home Heating Oil and Diesel are both #2 fuel oil and pull on the same stocks. BTW - not everyone can drive a prius, My cattle trailer and hay trailer need a full size diesel pickup to pull them, which there aren't seriously fuel efficent alternatives out there yet. The good news is there are more fuel efficent diesels being designed than ever, but fleet turnover on large trucks is a 7 year at best game, unless serious tax incentives are encouraged.

Coolhand

Bush's New Drilling Proposal: Fixing a Hole

10 years to realize oil? Where does this data come from? Given the shallow depth a more realistic figure is 2-3 years max, quicker given the incentive. Also - how about the reinvestment of the oil dollars into the US economy versus others....

Who's Really to Blame for High Gas Prices?

Dan, You are correct in the 25% of the energy consumed figure, but you left out the small fact that the US produces 25% of the world's GDP. Hard to do without energy. I do agree with you on letting the free market run - consumers will adjust - and yes the lower income folks will have to adjust more - but thanks to easy credit, there are is a large band of folks that have lived large in the past few years. Me - I have a high net worth, and drive an 8 year old vehicle with 120K, I watch with amusement the folks that have used their home as an ATM to fund an over the top lifestyle.. "A dog returns to his vomit, like a fool to his folly"

CH