Gas Crisis

The Gas Crisis

By Cody Hobbs

We are in the midst of a devastating crisis here in the United States. The cost of gas has bankrupt airlines, is forcing small trucking companies out of business, and it won’t be long before we see a major price jump in the price of other necessary goods, such as food, as well. This is due, in part, to the rising number of SUV’s on the road today. For some, driving a large vehicle is a necessity. Farmers, people who contribute to U.S. agriculture do need large vehicles to transport bails of hay, feed, and other supplies. But, many SUV drivers live in suburban America. This trend has proven devastating to our economy.

Wasn’t the oil shortage inevitable anyway?

Yes, it is. However; anyone with an elementary understanding of basic economics knows that when you raise the median average consumption of any product, you raise the average price. Subornites who trade in a more fuel efficient vehicle for a gas-sucking SUV don’t change the amount they drive. They still have to pick up the rug rates from soccer practice, do grocery shopping, drive to work and back, and run their errands. The amount of gas consumed does rise however.

This is the United States of America. I should be able to drive whatever I want!

And you’re absolutely correct. But, you are not the only one affected by your choice to drive a gas-guzzling beast. By making the choice to drive an SUV, you have caused a severe adverse supply shock to refined gasoline. And what happens when you increase the marginal average of consumption (demand) and the supply available decreases? That’s right, the average price per unit increases. Now, instead of $0.99, or even $2.00 gas, we are seeing soaring gas prices that are expected to reach $5.00 a gallon within the next two years, possibly by next summer.

Anyone can complain about something. What’s the solution?

As I have already said, this is America, and you should be able to drive whatever you’d like. But you do not have the right to make everyone else pay for your actions. That is why I am suggesting a split price for gas. People who chose to drive a more fuel efficient vehicle pays $2.00 per gallon for gas, and people who chose to drive a gas-monster pays $4.75 per gallon. People who do need larger vehicles for their industry, such as agricultural workers, construction, etc., should be allowed a discounted rate for fuel at $2.25 a gallon. How is this fair, you ask? Aren’t people who drive more fuel efficient vehicles already getting a “discount” by not having to fill up as much? No. As we have seen with major airline companies, even large corporations cannot afford fuel inflation. So how can we expect a medium to low wage income worker afford gas at $5.00 a gallon, even if they drive a civic? The split price is not meant to punish those who want to drive SUV’s, but it is meant as an incentive to get people to trade in their SUV’s for a more fuel efficient vehicle. Also, American car makers currently lose money on mid-sized sedans. They make money, they claim, only on large trucks, and SUV’s. This initiative is also meant to encourage American car makers to start thinking more fuel efficient. This is not a rant about the environmental damage that SUV’s supposedly cause. American industry cannot survive constant hikes in fuel! Something must be done. Pleas join me in writing a letter to your congressmen urging them to consider the split price initiative. The future of your nation’s economy depends on it. But don’t take my word for it. Get online, and do some research for yourself.