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Clearly Pro 
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Joined: 21/September/2005 Location: United States Status: Offline Points: 28 |
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 Posted: 03/July/2007 at 5:48am |
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Please help me learn how the president affects gas prices. I must have missed that day in school. I was under the impression supply and demand changed prices more than politics.
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Dance like no ones watching
Love like you've never been hurt work like youre already rich |
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Ken Harris
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Joined: 12/January/2006 Location: Canada Status: Offline Points: 1120 |
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Posted: 03/July/2007 at 1:51pm |
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Clearly:
Supply and demand is still the driver of this market. Most people are still not aware that we are in "Peak Oil" already. That means that the world's maximum production capacity has now been reached, is on the way down from here. The 85 million barrels/day we are at right now will never be exceeded. In fact, within about 5 years from now it will likely be at 70 million/day and dropping. With the Chinese adding 500,000+ new cars to the road EVERY MONTH and rising, what do you think this is going to do to the gas price in the very near future? Gas will be somewhere between $4 to $6/gallon before this year is out. If no major hurricane hits, probably closer to $4. Other wise, $6 is more likely. If we dodge the bullet this Summer, expect the next crisis to happen this winter. At that time, supply and demand will cause oil to spike close to $100/barrel. Presidential politics have nothing to do with whats coming, and cannot stop it either. This is all supply and demand driven. A lack of supply and increasing world demand assures that we are about to enter the "Long Emergency". Get yourself a very fuel efficient car, because my guess is you will see fuel rationing in the USA before 2008 is through. |
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Inventor of Teflon Carpet Wand Glides.Free Glides for all Cleaners in June!
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pilediver
Carpet Cleaning Guru 
Joined: 03/December/2005 Location: Sidney BC Canad Status: Offline Points: 3235 |
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Posted: 03/July/2007 at 4:53pm |
Edited by pilediver - 03/July/2007 at 5:14pm |
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http://www.expertcarpetcare.ca>Carpet Cleaning in Victoria BC
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Ken Harris
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Joined: 12/January/2006 Location: Canada Status: Offline Points: 1120 |
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Posted: 03/July/2007 at 4:59pm |
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Looks like what will happen to Bob when he discovers I'm right.
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Inventor of Teflon Carpet Wand Glides.Free Glides for all Cleaners in June!
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cmaster
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Joined: 29/January/2004 Location: Canada Status: Offline Points: 29693 |
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Posted: 03/July/2007 at 8:18pm |
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Yeah, that's it
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The STD Meter |
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cleanaz
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Joined: 05/March/2007 Status: Offline Points: 28 |
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Posted: 04/July/2007 at 1:42am |
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Elections have nothing to do with gas prices? Now you are sounding like Ken, no offense Ken. Politics have nothing to do with it? What are you smoking? Look at the records during election years, yup, gas prices go down. It happened during the recent elections, gas prices stabilized and went down. Make it a Presidential election and you are bound to see prices stabilize and drop even more.
No one can predict this stuff, and I could be wrong. I am sure of the fact that prices will go up in the future due to supply and demand. Oil is a finite resource (meaning not renewable) so it is bound to happen. I just don't think that it will happen that soon.
It is knee jerk reactions that cause a crisis, not the shortage. Here in Arizona we had a supply line break in Yuma that supplied a portion of all of our gas in the Phoenix area. There was no shortage, but the panic from the public caused a shortage. Everyone ran out to fill thier tanks and bought extra containers and filled those. The trucks couldn't fill the stations fast enough to keep up with demand, therefore causing the shortage. I had to go out at 1 a.m. just to find a station that had gas and fill up my truck so I could make it to work the next day. There were lines a mile long during the day! Literally!
They are also building an oil refinery in Yuma in partnership with Mexico. Mexico has plenty of oil. They unfortunately pulled out of the deal. We have the oil, just not enough refineries.
Prepare for the future, but don't be stupid either. There are more oil fields in Colombia that have not been tapped. By the way, you can bet that the next war will be in Colombia, unless they AGREE to give it up.
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Ken Harris
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Joined: 12/January/2006 Location: Canada Status: Offline Points: 1120 |
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Posted: 04/July/2007 at 11:24am |
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In the past, oil prices were very much inluenced in the year before a presidential election. That was true because the supply of oil exceeded the demand for it, therefore controlling the supply would influence the price.
Not anymore. Thanks to the demand(China primarly) catching up to the maximum supply(Peak oil), all that changes.Demand will be exceeding the supply from thispoint further. That is what sets the price, not elections.The only way to get supply and demand in balance in the future will be for it to sell at very high prices to create demand destruction or to ration it, Rationing does not work well if the supply is dropping on an on-going basis like we have here. Very high prices will be the result. There is no way around it. Electric powered autos will reduce the demand so things will be managed, but high prices are here for good. Oh, and that thing about Venezuela sharing it's oil? You can forget that. China is in there developing that. That oil is going to China. The contracts have already been signed. Done deal. |
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Inventor of Teflon Carpet Wand Glides.Free Glides for all Cleaners in June!
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cleanaz
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Posted: 05/July/2007 at 3:08am |
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Thus the war, Ken.
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Ken Harris
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Posted: 05/July/2007 at 9:45am |
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America will not go to war with China. China holds the economic future of the USA in it's hands as they continue to buy up the countries assets, including the world's largest holder of dollars. China will do by economics what they could never do by military strength.
Edited by Ken Harris - 05/July/2007 at 9:47am |
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Inventor of Teflon Carpet Wand Glides.Free Glides for all Cleaners in June!
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John L
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Joined: 29/November/2004 Location: I'm Right Here! Status: Offline Points: 4013 |
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Posted: 05/July/2007 at 2:46pm |
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They found a big oil pocket in Texas where everything is suppose to be BlG |
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Ken Harris
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Posted: 05/July/2007 at 6:59pm |
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Nothing big has come out of Texas in a long time, John. Nothing big will be coming out of there anytime soon either. There will be "something Big" going into Texas soon however. That would be a huge increase of Mexicans. You see the oil in Mexico is running out. All oil exports from there will be ending in 2 to 3 years. After that, 40% of mexico's income is gone and the serious cutbacks will begin there. Many Mexicans will vote with there feet and cross the Rio Grande instead.
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Inventor of Teflon Carpet Wand Glides.Free Glides for all Cleaners in June!
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cleanaz
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Posted: 14/July/2007 at 2:02am |
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Uh, your a little late with that prediction there Ken. They are already coming across the border as fast as they can run. I happen to live in Arizona and see it everyday, so good luck trying to scare me with that one. That is one problem that will blow up if the illegals keep marching in the streets. They have no right to do so, and us "legals" have had about enough of their crying and complaining. They get everything for free, while we must pay. This crap has got to stop. Good thing we "Americans" can still carry guns, atleast until the democrats get into office.
Didn't you Canadians have the same problem with Chinese a while back?
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Ken Harris
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Posted: 14/July/2007 at 1:52pm |
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Yep.
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Inventor of Teflon Carpet Wand Glides.Free Glides for all Cleaners in June!
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Hammy
Carpet Cleaning Guru
Joined: 27/September/2006 Location: Canada Status: Offline Points: 10330 |
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Posted: 14/July/2007 at 1:58pm |
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Kenny listens too much of Coast to Coast!
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Could somebody just clean my carpets!
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