
$4/gallon, $4.50/gallon, $5/gallon or More
I was home in California last week and I paid $4.29 for premium fuel while I was there. And, as I write this, the price of oil is still rising. $4.50 or $5.00 per gallon of gas is certainly in sight and possible. And, remember that the price of oil is denominated in dollars, but it is a world market. So, when the value of the dollar drops, as it is doing now due to printing money and deficits and such, the price of oil in dollars will rise even if the world supply/demand equation remains stable. We have seen this movie before. I remember very clearly in August and September of 2008 that Republicans (including this Republican) took to the floor of the House during August recess to talk about the recent rise in gas prices and to send a "drill, baby, drill" message. I also well remember one day in September when I was scheduled to lead that floor effort, but the financial crisis was about to burst and overwhelm the issue of gas prices. I asked to see then minority leader Boehner and was able to convince him that we should not be talking about gas prices when a much bigger crisis was going to be upon us within days. He heeded this advice and we went out and held a short… Read More