Saturday, December 6, 2008

I still might be able to get that RV!

Now I've resisted the last years worth of $200 oil predictions. And this one should be taken with a grain of salt as well. Read it an see the effect of prices on production and how it take 3+ years to bring new production online.

The Coming Oil Crash: Why Oil Prices Will Drop

The tripling of oil prices since the summer of 2003 has unleashed forces that within the next two or three years will bring oil prices tumbling back down to below $50 a barrel. Looking even further ahead, prices could easily fall to $30 a barrel or even lower. So before you trade in your Cadillac Escalade for a Toyota Prius, think twice: $1.50-a-gallon gas might not be gone forever.

For extra good measure. The governments could be bailing out the big three with a promise to keep building an electric car that no longer makes financial sense. Then turn around with green rebates for consumers to make the car affordable.

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