Whats really going on with oil prices?

@xfahctor (14126)
Lancaster, New Hampshire
July 22, 2008 1:15pm CST
Ok, there is a great deal of debate over why oil is so expensive. Even the so called experts cannot seem to agree on specifics but seem to point to a number of factors rather than one smoking gun. Everything has been blamed from economists blaming speculators to conspiracy theorists blaming the new world order. So I'm interested in your serious thoughts on the matter. Please, however, keep it serious and thoughtful, no "Bush and Cheny raised the prices" or "the new world order is trying kill off the little guy". Serious posts only. I believe it is going to bottom out soon for the following reasons: china has been hoarding fuel for the Olympics, this is due to stop on August 12th the congressional ban on off shore drilling expires in September (the executive ban is already lifted, did anyone notice the sudden drop after that announcement?) People are fed up and tired so far more action is going to be taken and in a very aggressive manner A bill regulating speculators is due for a vote gas consumption has dropped by 5% in the last 6 months
3 responses
@elmiko (6635)
• United States
23 Jul 08
Theirs just so much money flowing around these days it hard telling why its so high. I believe their greedy pigs because all you have to do is look at their profits. Is their really a need for an answer when switching to alternatives can lower prices anyway over time? Alternatives are really the answer rather than why gas prices are so high.
• United States
22 Jul 08
It seems simple to me though I don't feel there are only 1 or 2 reasons the prices are so high. But the biggest reason is demand and the sellers can't keep up with the demand and are probably taking advantage of the situation at the same time. China has become more prosperous from manufacturing. Why do we assume they don't want to stop walking and riding bikes and are buying more cars just like the rest of the world? India has become more prosperous because of the internet, they are buying more cars and also need more fuel. It doesn't matter who or what you blame, it's time to find a way around oil consumption anyway. I remember learning in the 70s in high school that oil was going to run out.
@debjit (339)
• India
22 Jul 08
The price of oil is rising constantly over few months. It has become so much expensive, it's shaking the whole economic system all over the world. Infact fuel price hikehas a cascading effect on economics as it affects all the economic tools, that resusults this huge inflation, rise in price of every essential commodities. To stabilize this economic imbalance oil price should be reduced. But it sounds quite unreal. It's next to impossible to lowwer the price of oil. As the ammount of crude oil is reducing day by day where as the need is increasing rapidly. So, what is the way out? The one and only way out, I think is using alternative resouses of energy. Only that can resolve this problem.