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RE: [A/S] Effect of Gas Prices



Marvin,

An industrial society is built around using fuel (energy, power) instead of
human or animal muscle power.  By achieving higher productivity (output or
gross domestic product per citizen worked hour, our standard of living goes
up.)

With higher energy costs, all other things being equal, our standard of
living will drop as the cost of all manufactured goods (including shipping)
will increase.  However, all things do not remain equal.  Higher gasoline
prices will (ultimately, if we don't run out of the stuff in the mean time)
encourage development of alternate fuels (like biodiesel, and a resurrection
of nuclear power, etc.) and improved efficiencies which will bring the total
energy cost down.

Unfortunately, there is a "dirty float" in the price of oil and gas.  Notice
how fast the price goes up in response to negative factors, while it doesn't
drop (as fast or as much) in response to positive factors.

The smartest thing we could do, in my opinion, would be to start oil
exploration and drilling in ANWAR (Alaska) - but not for the obvious reason.
Having a significant alternate source of oil would discourage OPEC and other
oil producing countries from playing games with the supply and prices.
Thus, they will hold (or lower their prices) and we won't even have to use
very much of the Alaskan oil.  [This is exactly the same strategy that
caused the Soviet union to collapse, when President Regan upped the ante on
defense spending and weapons development - he never had to use them, but
still defeated the enemy!]

Also, don't get a guilt trip that you are wasting precious fuel by using
your Airstream.  Your trailer is far more efficient than any hotel. [Hotels
use more energy per capita than any other business!]

Seeing this remarkable country, towing an Airstream, is one of the most
enjoyable and least costly activities there is.  So do it while you can.

Go for it, and Godspeed,

Oliver Filippi