Tuesday, June 9, 2009
Skyrocketing Oil Prices Threaten Economic Recovery
Here we go again!
There's a gasoline station here in Manhattan at the corner of 14th Street and 10th Avenue that's selling gas at $3-a-gallon.
Everyday as I drive I check gasoline prices. Everyday, seemingly, they are higher than the day before.
Now there are some analysts who are saying, hold on there! These increased prices could kill the economic recovery in our nation.
I for one am rethinking my summer travel plans already. I bet you are too.
But if we do cancel trips - if we do cut our gasoline consumption once again - will the law of supply and demand work? Will prices level off or even drop? Or will speculation about the future force the prices to continue to rise?
I fear the latter rather than the former.
Photo credit: http://www.flickr.com/photos/photosbystan/3601894611/