It's pretty difficult to ignore the rising gas prices this summer, regardless if you commute to work daily or just watch the prices at the grocery store climb as it becomes more expensive to ship any sort of product from Point A to Point B.
Was it only a year ago that I was aghast at gas sold for $3 per gallon? Man, I miss the gold old days of 2007.
When people are scouring the country for used Geo Metros as a cost-effective alternative, things are getting out of control. That was, until American Airlines announced its new policy of charging $15 to check just one bag if you want to fly with them.
While it's somewhat plausible that the United States will eventually move towards something other than petroleum to power its vehicles - just as soon as the energy barons find a way to consistently charge for it - how the hell are they going to pack enough batteries into a plane and still have it remain airborne?
Occasionally, I wonder about the possibility of a major sport falling off the map and never being heard of again. Given the issues with each sport at any point in the past decade, it's hard to ignore the fact that one could spin out and just be gone and only be heard from again on trivia night.
I've been having those thoughts regarding the use of gasoline - mainly regarding the wisdom of purchasing a classic car that might not have the fuel to run it in 30 years - but I can't imagine how this will hit the airline industry.
To go from a point where airplanes rides were luxury items, reserved for the very rich, to affordable, accessible flights in under 50 years is one of the wonders of the 20th century. Flights have gone from the cheaper alternative to driving - both in terms of actual and opportunity costs - to being slowly priced out of the average American's vacation plans. Coupled with gas at over $4 per gallon and the only viable alternative may soon be simply staying at home.
The bigger question looming is whether air travel will remain an affordable option long enough to try and find some wiggle room in terms of providing power for the jets.
Think it's far fetched?
Check out the Wall Street Journal, via Consumerist.com:
Scott McCartney, who writes the Wall Street Journal's "Middle Seat" column, has some thoughts about what consumers can expect from airlines, now that oil has hit $130 a barrel. He says that "he change in oil prices from a year ago to today translates into $24.6 billion in added fuel costs for passengers and cargo airlines on an annualized basis," which is more than the airline industry has ever earned— its best year saw $5.3 billion in earnings.
Oh, that's not good. Not good at all.
(Image from: AllPosters.com)
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