09 July, 2008

TIME's 10 Things to Like about $4 Gasoline

Humans are an extremely adaptable species. Although we're lazy and like comfort and convenience, we adapt to changes in our environment as best we can.

So when gas prices rise (as they are currently), it won't take long for us to change our ways to accommodate -- and those changes may be for the better.

Read TIME Magazine's 10 Things to Like About $4 Gas.

I have long held the view that, although the higher prices may cause a pinch in lifestyle, America needs more expensive gasoline. Honestly, we have nothing to complain about -- Great Britain has long had gasoline at over $8 a gallon, and Australia has been enduring $12 a gallon for quite a while.

Understandably, most American's disagree with me on this (some vehemently) -- but there is validity to the idea, as evidenced by the topics covered in the TIME article (over 3000 America lives have been saved THIS YEAR through decreased pollution and traffic deaths!).

The higher the prices, the less we drive. The less we drive, the fewer pollutants in the air. The less we drive, the fewer natural resources consumed for our convenience -- meaning that they will last longer. The less we drive, the more we take public transportation, bike, or walk -- resulting in better transportation (improvements stem from the additional demand and the additional revenue) and better health for the community (through more exercise and less pollution).

One could even make the argument that higher-priced gas is actually GOOD for the economy. It definitely has and is dropping stock prices (I look at my portfolio and wince) and home values, but that drop provides time for a much-needed rebalancing of the economy.

Everything requires checks and balances, and the American economy has been growing too fast for it to be rooted in stability -- we have shipped our jobs overseas (that are starting to return as shipping prices increase), the economy is based on speculation (stocks) rather than industry (again, solved by returning jobs), which results in a weaker dollar. As the dollar weakens, the remaining United States industries are bought (through stocks + real estate) by foreign companies and even foreign governments (China owns a surprising stake in some U.S. corporations). Does this sound anything like Ron Paul? If it does, just remember that the dire warnings he gave -- at which most of America scoffed -- are all becoming reality.

I could go on, but I will leave my complex ramblings for another day. In conclusion, I view rising prices as bad: short term, but good: long term.

I just hope that America hasn't grown too quickly since its last resettling that we can quickly bounce back into self-reliance and productivity -- and not more towards the 10% unemployment rate towards which we're currently headed.

2 comments:

Alayna said...

Though I don't have any comment on this particular post (except to say that it was an interesting article), I must say that I think we get our news from the same source - cnn.com. :)
Most of the articles I've seen you post on Facebook are ones I've already read on CNN, including this one.

Blog Editor said...

Yes, I do get a lot of articles from CNN -- they seem to have an interesting variance in articles and also a relatively independent and balanced coverage of issues (unlike some other networks).

However, I do greatly vary my sources and prefer to maintain a diversified panel of news sources.