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To: Ramius

I think it's more like people have to buy it, than keep buying it.


31 posted on 04/27/2006 11:04:07 AM PDT by stuartcr (Everything happens as God wants it to.....otherwise, things would be different.)
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To: stuartcr
I think it's more like people have to buy it, than keep buying it.

I don't know how elastic the supply and demand curves for gas are, but nobody *has* to buy it. They buy it because they value the gas at least as much as they have to pay for it. So they buy it.

I'll back up a little: by saying it isn't a crisis I don't mean to say it isn't an annoyance. Of course it is. But there is an evolving new reality happening in the global demand for oil that we are adjusting to, and there simply is no way around it. Some of the adjustment will come by higher prices that don't come back down all the way. Some of the adjustment will be about changing some habits or changing some things away from oil-power to some other source.

That said, I don't know if the title on this thread is accurate or not, whether the price will go back down under $2. It might. But it might not.

35 posted on 04/27/2006 11:50:54 AM PDT by Ramius (Buy blades for war fighters: freeper.the-hobbit-hole.net --> 1100 knives and counting!)
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