Quote:
Originally Posted by Greg McDonald
Doubt that will ever happen again unfortunately.
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I wouldn't be so sure about that. It may not happen in the very near future but I think it will happen sooner than most think. The biggest factor on world oil prices is the weak US dollar. A stronger dollar translates to lower oil prices. The other factor that may help lower oil prices is if the US starts drilling for massive amount of oil they have here on their own soil. I think the governments 'weaker dollar" policy, and their refusal to drill for the oil we already have (estimated to be at least a 100 year supply) is ridiculous considering what we're currently paying ($4.20 a gallon when I filled up yesterday). Public pressure is already showing with Bush and McCain wanting to open offshore drilling by state choice again....but we'll see if that happens!
The other ridiculous government mandate over here is the Ethanol one- let's take the main ingredient in over 60% of the nations food supply and mandate it's use as fuel.....which then drives the price of wheat and soybeans through the roof because there are more corn crops....which accounts for the 40% of food ingredients. Crazy!!!!!
Those two subjects account for the majority of the so-called recession over here. Higher food prices and higher fuel prices have a huge trickle down impact on everything and everyone- the airline industry being one of the hardest hit unfortunately.
Cheers,
Ben