Gas Prices are Not Too High - Not Yet Anyway

Speed Racer

Gas prices are going up and up, especially here in my area. And people are of course upset. I saw a couple newscasts about it yesterday, and there is talk among some of my Facebook friends about it. But I am going to take the counter position and argue that gas prices are still very low. 

I will know that gas prices are too high when people start slowing down. Around here, people drive like maniacs. I was out on the freeway yesterday afternoon (after seeing those newscasts) and shook my head and how fast people were driving. "So much for gas prices being too high," I thought to myself... again. When people start driving 65 on the freeway, when they quit gunning it from light to light, etc., in general, when they stop acting like they're in a race, at that point, I will say, "Yes, prices are a problem." But as long as people are willing to spend gas money to pretend they're racing everywhere they go,
then that's what they're willing to spend their money on. I'm not saying they shouldn't drive that way. I am saying they shouldn't drive that way and then complain that they can't afford the gas prices.

Remember when it hit $4 in 2008 and everybody freaked out? But nobody slowed down. That spoke to me so clearly. I will never forget it. I have friends from Europe who have said forever that gas prices are super low here, even at the current prices. I believed them then.

Driving slower, using the cruise control, accelerating slowly... these sorts of habits can save 15-30% on fuel costs. If this doesn't seem like much, compare it to the rate of return you are getting from your savings account today. It will suddenly seem like a windfall.

To be fair, prices going up does impact other things, such as food costs. So in that sense there is nothing we can do. But I can't help but wonder what would happen to gas prices if we all, as a country, slowed down. Just slow down, quit racing everywhere, learn good, fuel saving driving habits... what would happen to prices if we all this this?

Yes, we are at the effect of oil companies, yes, when they post record profits it's offensive. But there are changes we can make to save ourselves money. We do have some measure of control, and we are not using it. When we continue with wasteful habits, who is helping contribute to the record profits and the higher prices?

What have you noticed about gas prices and how they impact people's behavior?