When will the gas price increases stop?

Good question.

Friday morning, Yahoo reported that the price of oil rose above $126 a barrel for the first time. This brought the upward advance in crude oil prices for this week alone to $10 per barrel. The national average for gas prices is now $3.65 with metropolitan areas leading the price increases to near or above $4 per gallon.

A Poll conducted by USA Today indicates that people are dumping their gas guzzling automobiles in lieu of more fuel efficiency in record numbers. Nationally, the average miles driven has dropped for a record fourth month in a row. According to USA Today, nothing this dramatic has been seen since the oil crunch of the 1970s.

This survey also showed that 3 out of 4 Americans shop for the cheapest gas they can find, no matter the brand, 4 out of 5, if they have the option, have parked their low miles-per-gallon vehicles in favor of their most fuel efficient car.

The Wall Street Journal states that now, because of concerns over Venezuela and the possibility that the U.S. could impose sanctions on the nation’s largest source for crude oil, Venezuela might cut off the US supply altogether.

Oil prices rose again, because the dollar’s continuing decline in the international money markets. Analysts believe that the oil price climb is a direct result of this decline in the once mighty US Dollar.

According to The Guiness Atkinson Global Energy Fund, the world’s economy is driven by the price of fuel. They also state that the global demand for oil is about 85 million barrels per day and that the ability of the world’s oil producing countries to supply this demand is under severe stress.

However, they estimate that the world’s demand for oil will continue to increase as countries such as India and China continue to industrialize.

So what does this all mean to Southern Maryland?

Tough times are here and getting tougher by the day and sure to get worse in the coming months.

Fox News reported that some pundits are predicting $200 a barrel pricing and gas at over $7 per gallon by early next year.

Perhaps the Amish have it right after all.

It just may be we will be forced into a simple life where a trip to the market is a day-long family event and barter is the norm.

Then again, perhaps someone we have elected, or are about to elect, can put a stop to this madness and figure out how to salvage our economy. Maybe Congress can get a handle on fuel prices before banks begin setting up shop at gas stations for quick loans. Maybe the trucking industry can figure out how to afford to deliver the goods we have become accustomed to, or will grocery stores draw lots to see who gets to receive one of the two loaves of bread delivered that day.

Then again, perhaps we are in for a very long, difficult time ahead.