Is it really bad for the price of oil to be high?

Doesn’t it force us to use the oil we have more efficiently, or even better, find an alternative to oil faster?

50 Responses to “Is it really bad for the price of oil to be high?”

  1. ANSWERMAN Says:

    Not if you or your family have investments in oil companies( i.e. bush, Cheney et,al) Bush and his pals were trying to get their hands on all oil in Uzbekistan for years, but to do it they needed a pipeline in Afghanistahan ( as the alternative was Iran). They tried to negotaiate with the Taliban, but didn’t get far. By starting a war there they theorized that they could eventually form a stable governement which would let them build their pipeline. In the meantime, they can now afford to sell oil from the Canadian Tar fields. At a cost of $30/barrel to produce( vs. $1 for caspian sea and persian gulf oil) it has only now at $60/barrel become economical to produce) George Bush abd his speech about the addiction to oil are about as sincere as Phillip Morris telling us to quit smoking.

  2. rmvandewiel Says:

    Yes and no. In one way it is good. If the price is high, people wont buy much of it, so we will conserve oil for the future. It is bad because you dont want to spend much.

  3. dlbalderston089 Says:

    I believe it does cause people to be more conservative in their use of gasoline. Doesn’t mean you have to like it though!

  4. earlthek Says:

    Perhaps…but it still takes a pretty large chunk out of the pocketbook!

  5. rj_in_pg Says:

    The worst part of high oil prices is the impact it has on people who are poor or on fixed incomes. For some people, higher oil prices may mean that they cut back on their next vacation, or buy a sedan instead of a huge SUV. But for others, high oil prices may mean less money to buy food or pay for medicine.

  6. starrr Says:

    yes, a lot of people do not make enough money for the oil

  7. bongsanvictores Says:

    Bill Gates wouldn’t mind.

  8. Mr. Falaffalshtick Says:

    if oil prices are high then people will be forced to consume less. but their is a flaw is this idea, the very rich will still be able to guzzle lots of oil. on the other end of the spectrum the poor will not be able to afford it. of course this would prompt them to use public transportation which, depending on where you go is not in the best shape. in conclusion, it has little or no effect on the rich, takes a bigger chunk out of the middle classes wallet, and makes transportation harder for poor people.

  9. CLOSE TO IT Says:

    IT DEPENDS IN WHAT SIDE OF THE DISPATCHER ARE YOU

  10. TYSONBULLY Says:

    It is if you have an suv!

  11. slw4012 Says:

    The Consumer Price Index (CPI) and Producer Price Index (PPI) tend to be driven by the price of oil. Since transportation of goods and services is a huge factor in their cost, increased fuel costs contribute greatly to increased transportation (and in many cases, production) costs. Increased costs leads to inflation. Inflation is known in laymen’s terms as "too much money chasing too few goods." To check inflation, interest rates rise. Increased interest rates, in general, are not good for the economy because when the cost of borrowing money is prohibitive, then investment in goods, services and infrastructure slows down, contributing to lower GDP or a lower rate of increase in GDP.

    What are some advantages of high oil costs ? Well, environmentally, there is an incentive to use alternative fuels. Also, strange as this sounds, if oil producers are raking in the big bucks, they have some extra cash to pour into Research and Development for alternative fuels / sources.

    Any advantages to high interest rates ? Well, I suppose if you’re sitting on a lot of liquid assets, you can get some pretty good returns on your money. However, real assets such as housing tend to suffer in a high-interest-rate environment.

  12. chad M Says:

    It sucks, i have to file bangrupcy now cause i cannot afford to fuel my motor home and all my other cars bush is letting them rip us off .

  13. dray11 Says:

    Yes! Every time the price of oil rises it causes the price of everything else that is transported anywhere to rise also. Wages, pensions and retirement incomes do not rise proportionately to the overall increase, thereby making everyone poorer. That is, EXCEPT the people in the oil industry!

  14. lil21dog Says:

    no cus of inflation and deflation think bout this every 1 has a car. think bout this gas was 50 cents back then now when its 5 bucks now and the gas goes price goes down to 3 bucks the ppl say gas went down it did but it went up 1.50

  15. puppyfred Says:

    It’s not all that high, if you compare it to the price of milk and orange juice. We pay more for that and don’t complain.

  16. swimrgrl94 Says:

    YES!

  17. Kasey Says:

    YES. As George Bush says "America is addicted to oil" and its very true its also very bad for the earth.. we could be so better and we can be at where would be 20 years from now but no one gets off their lazy a$$ and do anything~

  18. starmaster93 Says:

    It can be yes and no. It’s yes because you have to spend a lot of money just trying to get a few miles from your house. It’s also no because we are saving oil for the future and its important because when our kids grow up, there won’t beanymore oil left. So why those companies are pricing oil so high? Its because of that reason. I hope this helps you!

  19. chamwen Says:

    Of cos is bad.A best example is the cost of gasoline (petrol) for your car will escalate as the price of oil goes up.Because of that transport of goods will also increase, and because of that we will need more money to buy food and because of that companies we work in will have to increase our pay, therefore one thing will lead to another….Hope you catch what I mean.

  20. alexasmooth Says:

    YES!!!!!!!!!

  21. md_jamal19 Says:

    yes, offcource now its going to effect lot’s of middle class family

  22. semisnugzz Says:

    no it’s not, because it’s bush’s fault.

  23. xxwmichelle Says:

    not really.

  24. midlight_dragon Says:

    Yes, it’s alot of money.

  25. ceddyced_469 Says:

    Well, as much as I hate to pay so much for gas,I would have to say no. Americans already pay far less than most developed countries and as a result we have more automobiles than any where on the face of this earth. Which contributes to overwelming pollution, clogged roads and poorer quality of life because spending so much time stuck in traffic. I live in the Atlanta area where it is absolutly ridiculous getting around. Although I love this city the forever lasting congested traffic takes away greatly from enjoy it.

  26. David Says:

    It is a very good thing because people are and will be more conservant with gas. This will also speed up the process of getting hydrogen-powered cars, because more car companies want money, and cheap-to-power cars will make money, and CEOs have common sense. And everyone hates the smell of carbon monoxide(the stuff that comes out of the exhaust pipe). Besides, I’m a kid; I’m not spending any money to get driven to school all the time.

  27. bloodyxwickid Says:

    Yes and no. Yes because then people will buy less gas and probably if they want to save money they would buy a better enviroment car. No because then America has to buy this gas for a large price and then we need to keep raisng prices to pay for this.

  28. knitepoet Says:

    YES, This country’s economy is dependant on fuel/mobility. Because of high fuel prices EVERYTHING is going to become more expensive, reducing the amount of disposable income available. Reduced spending, lower profits. Lower profits for companies, less growth. Less growth fewer new jobs and possibly fewer jobs overall. All these people who’ve recently gone out and bought there dream gas guzzling SUV’s can’t afford to now go trade them because fuel prices have skyrocketed.

  29. VietPimp92 Says:

    They’re just forcing us to buy less for more. And they force us to fight for it.

  30. melkhel Says:

    The price of oil is not that high. The profits for the oil companies have never been so high. It was on the news the other day. The government still lets the companies charge outrageous prices for gas. Talk to your congressperson, Senate and Bush about that one. Profits for gas has never been this high and NC is getting ready to raise the already highest in the nation gas tax. Go figure. The average Joe is not making any money off of this are we?

  31. mrscmmckim Says:

    It should be higher, the extra money should be pooled and used for green space protection.

  32. jedfreeloader Says:

    It is really bad because it makes the price of basic commodities high. If the commodity prices are high there would be less food for a number of people. If there are less food there would be starvation. If there is tarvation there would be death. Get it?

  33. januarybaby392 Says:

    Of course it is bad for the price of oil to be high!!!

    The poor and elderly are having to go without medication because greedy oil executives are over-pricing the product that every free person needs.

    Oil executives should be put in prison for their crimes against humanity!!!!!

  34. hockeyplaya889 Says:

    Yes I believe it is bad, causing many people who really cannot afford the high prices to suffer. It does have some benefits such as conservation though.

  35. Mikyla Says:

    uhm i dunno!!!sorry!!!peace out!!ehehe!!!

  36. fkisai Says:

    It depends. Who are you?

    If you’re a typical consumer, that drives up the price of gas, so it’s a bad thing.

    If you’re an oil company, it could go either way, because most of your costs get passed on to the consumer, so either you could be making the same, or you could be overcharging your customers and end up making more (but that’s illegal).

  37. le_geo26 Says:

    In relative dollars, gas was around $2.00/litre ($.90/gal) in the 1970’s, and peole could not afford to drive.

    Although expensive now, people aren’t driving less, just complaining.

    Gas prices will not cause society to seriously search for an alternative fuel source till it hits $2/litre.

    This does push research for alternative fuels but only reactively, not pro-actively.

  38. Eric C Says:

    No. The rising cost of oil is a good thing. People wont switch to alternative fuels until they have an economic incentive to do so. Alternative fuels are simply too expensive relative to oil. As oil prices rise the alternatives become more attractive.

    Its the natural order of things.

  39. Tex Says:

    Yes, it is bad because everything around us will be affected. 80% of all products are made from plastic . . . which is petroleum.

    WOW, now think of it like that. Now not only is it more expensive to drive the car but the dashboard, steering wheel, shift knob and about 60% of the vehicle is more expensive to even make. Your tupper wear, vacuum and rubbers/condoms are now more expensive. You just took a pay cut! So now you’ll need a heftier pay raise to get back where your comfort zone is . . . But now your boss is having to raise the price of XYZ product to give you a higher salary . . . and that is how a hyper inflation period is started.

    Now what I’m getting at is it’s all intertwinned. What Gorge Bush finally said in is state of the union address was absolutely correct (even though the whole address was about three to four years too late) our economy is too dependant on oil (or correctly foreign oil). Our whole country was sold a bad bill of goods from recycling to cheap dispensable foam products. We should have been doing re-use instead, what happened to the milk bottle?

    We have become incrediblely arrogant in our consumer habits. If the price of the oil went up it would case a natural correction in or habits. . . . personally I do not see that point as bad a thing.

    To answer your question the free market system would prevail and yes, finally we would take conservation seriously. There is no better example than the domestic auto industry. In 1994 our government gave GM, Ford, Chrysler $5 BILLION dollars to come up with alternative fueled vehicles. What did they have to show for it ten years latter? Nothing! Instead they had the highest fuel consumption ratings in the industry (poorest quality ratings, highest gross profit and get rich board members). Meanwhile the Japanese companies were making hybrids back in 1998 . . now that fuel has gone up guess who is dominating the market? The "foreign" (truly all car companies are global companies) car companies because they are meeting market demand.

    You’ve probably noticed that I started out saying yes it is bad but then changed it to say that it would be good as well . . . this is not a simple yes or no issue, but a complex multi leveled issue.

  40. johnroder1 Says:

    no, we just went through a whole lot of years where it was too cheap and it probably still is. everything is relative. we may very well get to look back in a few years and wish a gallon of gas was "still" only $3.

  41. pos_masteruae Says:

    when the price is high tell him bye

  42. expresso_008 Says:

    I would say yes and no because, I have to buy Petro for my truck often. It just seems to burn faster now that the oil has gone up in price. I have also noticed the price increase in all products due to the way oil prices really affect everything we use in today’s society.

  43. itulushootby Says:

    It is extremely bad because americans would earn much from oil.

  44. kaguraino Says:

    duh! yes!

  45. Revered Sentinel Says:

    Oil is currently, the mostly used fuel, around the world. Obviously when the price of oil rises, the price of many industial processes will also increase resulting in more expensive products, as all the goods and raw materials are transported and some are even manufactured using oil. And remains the question of Oils conservation, we should not worry about it, because there’s plenty of it left and by the time, oil is left in less quantities, may be ‘we’ would discover a better fuel source

  46. all4you69692000 Says:

    yes

  47. Oogs Says:

    It is not bad if you have stock in the oil companies.

  48. biosx Says:

    yup.
    it is really bad for the price of oil to be high for people and nation that r oil depended and consume it enormously.

  49. jhnnybgd7 Says:

    Yes if you own stock in an oil company! I work in the oilfeild and we keep working when the price is high.

  50. pepper Says:

    YES very bad.. the country runs off of goods. when fuel goes up trucking companys have to raise there prices to the companys that pay to distribute it, so the companys have to raise prices so then the stores have to make up the money to, so prices of food and other comodtities also rise. then you look at the people now not only did there heating prices jump up so did there prices to run there cars and so did the cost to feed familys and cloth them.. so what ends up is people making the same wage at work but the cost survive rises. if a person has to choose between food or getting to work, THAT IS A HUGE PROBLEM