Oil Strikes Again
I know that everybody is quite tired of hearing about oil, but since–according to the Wall Street Journal–it just found another way to affect our lives, I thought it pertinent to write about all the same. Here’s the chain of reasoning that leads to this newest discovery:
High oil prices mean high gas prices.
High gasoline prices have led to the US as a whole making serious cutbacks on how, when, where and why we drive in the US.
The US as a whole making serious cutbacks on driving leads to a decrease in demand, which leads to a decrease in the amount the US purchases which ultimately adds up to a decrease in federal fuel tax which just so happens to finance a good chunk of the Department of Transportation.
And that means that now a large number of our roads are considered unsafe in some way or another, since the larger government apparently doesn’t have enough money to fix them.
Now I’m not going to start seeing a crumbling bridge around every turn. The odds of that happening are astronomically low. But it is interesting none-the-less to see the newest area of our lives that high oil prices have affected.
http://www.smartprofitsreport.com/Archives/2008/rising_food_prices517.html
http://www.smartprofitsreport.com/Archives/2008/US_Economy530.html
Monday, July 29, 2008 — by Jeannette Di Louie, Assistant Editor of Mt. Vernon Research
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