Ga$ and Grocerie$ today

[geojen]

Originally Posted by sweeps

$7/gallon gas would definitely force something to happen. In the short term people would have to strongly consider things like carpooling or biking to work. Maybe even for some people they'd have to quit their job and find something closer to home.

The silver lining for the long term would be that the public and private sectors would have some major incentive to invest in other fuel sources. Unfortunately I don't think there is quite enough motivation at $3.59/gallon to do much.

I agree that it will take much more than current prices to force change. In a round-about-way, I think 7.00/gal gas would be the best thing that could happen to us--finally, companies would have to really get on the ball and innovate and come up with something new.

[saversaba08]

Originally Posted by rennigade

FrugalFish...unfortunately gas will hit $7 at some point in the future.

When gas prices had just begun going up I remember reading a report that Europeans, more specifically the English, were already paying around $8 a gallon, and have been doing so for some time. A huge chunk of this price consists of various taxes. However, these high prices have resulted in people buying small energy efficient cars that serve the primary purpose of transporting people from point A to B in an urban setting, but little else.
There is small chance of that happening here anytime soon.

$3.98 gallon Milk

$3.59 gallon Gas

All the produce prices have nearly doubled in the last year.

[disneysteve]

Originally Posted by geojen

I agree that it will take much more than current prices to force change. In a round-about-way, I think 7.00/gal gas would be the best thing that could happen to us--finally, companies would have to really get on the ball and innovate and come up with something new.

Actually, I think part of the problem is that there is innovation and alternative energy sources today, but they cost more than fossil fuels. For example, I'd be willing to put solar panels on my roof or a windmill in my backyard, but not if it is going to increase my expenses. No matter what people say about how much they care for the environment, the bottom line is always money. If it costs more, they won't do it. If it saves them money or gets them some reward, they'll change their behavior.

If gas prices continue to rise, they will ultimately cross the barrier at which the alternative energy sources become cheaper.

I think using recycled cooking oil to power our cars is what we really should be exploring/exploiting. The technology exists now. It is not costly and instead of polluting fumes, the roads would all smell like french fries.

[sweeps]

Originally Posted by disneysteve

I think using recycled cooking oil to power our cars is what we really should be exploring/exploiting. The technology exists now. It is not costly and instead of polluting fumes, the roads would all smell like french fries.

But then the unintended consequence will be increased obesity. Who can resist the smell of McDonald's french fries?

[disneysteve]

Originally Posted by sweeps

But then the unintended consequence will be increased obesity. Who can resist the smell of McDonald's french fries?

But then you could go to the drive-through, get lunch and fill your tank at the same time.

[FrugalFish]

Originally Posted by rennigade

FrugalFish...unfortunately gas will hit $7 at some point in the future. Obviously this won't happen overnight but it will happen whether we like it or not. I'm only 25 years old, when i first started driving at 16, gas was .90/gallon. Now where I live, its $3.59/gallon. It's gone up more than $2.50 in less than 10 years.

Oh, I know it will happen sooner or later, but the talk is of it continuing to climb to $7/gallon at this point, and not something that will happen in 10-20 years. My DH works for a gov't sector and they've talked about going to 4/10 hour days as a means to cut gas demands (no public transportation available); problem is now they are talking about needing support 6 days a week rather than 5, so scratch that. If DH is working a lot though, I consider us blessed- I've lived the alternative.

[geojen]

Originally Posted by disneysteve

Actually, I think part of the problem is that there is innovation and alternative energy sources today, but they cost more than fossil fuels. For example, I'd be willing to put solar panels on my roof or a windmill in my backyard, but not if it is going to increase my expenses. No matter what people say about how much they care for the environment, the bottom line is always money. If it costs more, they won't do it. If it saves them money or gets them some reward, they'll change their behavior.

If gas prices continue to rise, they will ultimately cross the barrier at which the alternative energy sources become cheaper.

I think using recycled cooking oil to power our cars is what we really should be exploring/exploiting. The technology exists now. It is not costly and instead of polluting fumes, the roads would all smell like french fries.

Then what we should be doing is helping to make these innovations more affordable. If we subsidize green technologies as much as we do oil and mining perhaps we'd be further along then we are today.

[disneysteve]

Originally Posted by geojen

Then what we should be doing is helping to make these innovations more affordable. If we subsidize green technologies as much as we do oil and mining perhaps we'd be further along then we are today.

I happen to think that we need to stop subsidizing most of the things we subsidize and let the free market sort it out.

[cptacek]

My husband and I live 162 miles away from where I work. He farms, and the farm can't move. I work in IT, and even though I CAN do my job from home, they won't let me. I drive to work Monday mornings and drive home Thursday nights. We just got married 3 months ago. It sucks.

I drive a F-150 pickup that gets 16 mpg. I don't want to get a smaller car because I drive past a lake for 20 miles of my "commute" and regularly see deer on the roads - even hit one, and though I had to get my bumper replaced, I didn't completely squash the car. I drive interstate for the other 142 miles and don't want to get squashed by a truck. My brother installs a component on vehicles that reprograms the computer that will lower fuel consumption. It will cost around $1300 and will improve the fuel mileage from 16 to 24. I spend around $500 in gas just for me to get to work each month. It will pay for itself in about 8 months. I think I am going to do this.

This doesn't count the farm diesel that he uses.

I have a very good paying job. If I was to try to get something around there, it would pay about 1/3 of what I make now. I am looking for a job that will allow telecommuting, but isn't everyone? Have had three jobs say they would hire me if I would move there. But I can't.

I think that the entire reason gas is rising is because our dollar is falling. Our money just doesn't buy as much as it used to. That is why commodities are rising too...other countries can now buy our grain for cheaper, because their money goes farther than our money does.

[LuxLiving]

Originally Posted by FrugalFish

Oh, I know it will happen sooner or later, but the talk is of it continuing to climb to $7/gallon at this point, and not something that will happen in 10-20 years. My DH works for a gov't sector and they've talked about going to 4/10 hour days as a means to cut gas demands (no public transportation available); problem is now they are talking about needing support 6 days a week rather than 5, so scratch that. If DH is working a lot though, I consider us blessed- I've lived the alternative.

FrugalFish, why couldn't some of the workers do 4/10s Mon-Thur, and others do 4/10s Wed-Sat?

[SnoopyCool]

Originally Posted by cptacek

I think that the entire reason gas is rising is because our dollar is falling. Our money just doesn't buy as much as it used to. That is why commodities are rising too...other countries can now buy our grain for cheaper, because their money goes farther than our money does.

I agree.

[momof1in150]

Originally Posted by rennigade

Even if gas goes up by a $1, it's not the end of the world. My tank holds 15 gallons, I fill up once a week.

15 * 4 * $1 = $60/extra per month

It's only $60 more bucks a month. So food and everything else goes up, add an additional $60 - $100. So maybe you're paying $160 more per month than last year.

Must be nice to have an extra $60-160 a month to throw into gas and groceries. Most people don't have that kind of wiggle room in their budget. Just last month we spent an extra $100 on gas. We drive minimally but because we live on an island we have to travel to get anywhere. That $100 has to come from somewhere and unfortunately there aren't usually budget categories that have an extra $100 in them.

[FrugalFish]

Originally Posted by LuxLiving

FrugalFish, why couldn't some of the workers do 4/10s Mon-Thur, and others do 4/10s Wed-Sat?

I like your thinking. They are a small shop of only 8 people and have to support 16 hour days (each suppose to work 8, but allowed to go to 12 if necessary, so no one individual can work the entire support day). So as you can see they are already split into 2 shifts each day. They are pretty much a skeleton crew at this point and generally half the people are out working in the field at any given time (the "field" is much of the western US, so you can't always call people back to the shop in a hurry). There's been talk of going to 24 hour support; I don't know how they would pull that off, they have trouble finding qualified people as it is.

I keep reminding myself that it's good to be needed (and hopefully hard to replace) when the economy goes soft.

[rennigade]

Originally Posted by momof1in150

Must be nice to have an extra $60-160 a month to throw into gas and groceries. Most people don't have that kind of wiggle room in their budget. Just last month we spent an extra $100 on gas. We drive minimally but because we live on an island we have to travel to get anywhere. That $100 has to come from somewhere and unfortunately there aren't usually budget categories that have an extra $100 in them.

Do you have cell phones, cable television, internet? All of these can be downgraded if not cancelled. You only have 2 options, make more money, or find ways to save more money.

[Ima saver]

I just filled up this morning. I got 12.8 gallons of gas for $49.70. Remember, I grew up when gas was 17cents a gallon.

[momof1in150]

When I filled up yesterday the pump stopped at $75.00 and it wasn't quite full. It was $3.799 a gallon. I have never had the pump stop at the $75.00 max before swiping my card again.

[disneysteve]

Originally Posted by momof1in150

When I filled up yesterday the pump stopped at $75.00 and it wasn't quite full. It was $3.799 a gallon. I have never had the pump stop at the $75.00 max before swiping my card again.

There was a story on that on our local news last week. Apparently many stations have the pumps programmed that way. Of course, it had never been a problem before but is becoming one now.

[pearlieq]

I have to fill up tomorrow--should be around $3.78/gallon. Ouch! Fortunately, I get about 24 miles/gallon in city driving and I work from home, so it can take me over a week to go through one 11 gallon tank of gas.

Luckily, food prices aren't up too much here--one of the perks of living in the Midwest. We're still paying about $2.60/gallon for milk. Other food price increases have been moderate or not even noticeable.