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What would happen if fuel were 20$ per gallon?

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1) Everyone would start buying (or would have already bought) hybrids and alternative fuel vehicles. In fact, why use super-expensive gasoline when you can use vegetable oil in a diesel with moderate mileage?

2) Gas power plants would be shut down.

3) The cost of all products that require shipping would go up. This would be across the board. Companies would never simply bite the cost of replacing their older trucks or the cost of gas, that cost would be passed onto the consumer one way or another.

4) The Middle East would be more important than ever to America. While we can switch to alternatives for vehicles and various other things, we can not eliminate our oil consumption for product manufacturing. Medical supplies, tires, any product made with oil would go up drastically in price.

Also, Heineken sucks. :guinness;
 
It'd be bad but it's not like fuel was cheap back in the 1900 or the1890s, it was that expensive (at least equivalent) when oil was first starting to come around.
 
Originally posted by: Bateluer
Sales of bikes, roller-blades, etc, would sell very well. My physical shape would vastly improve, and its already pretty good, as I would run or bike to work every day.
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heh, my first thought at seeing this thread was that our obesity problem would make a dramatic improvement.

The concept of the suburb would take a pretty big hit over time, but it's not like they'd disappear. Short term you'd see a lot of van pooling and bussing, with a variety of large and small businesses popping up to offer those services. The more entrepreneurial SUV owners out there might actually hang onto their vehicles. It would be odd to see all the single-occupant Suburbans suddenly loaded to the gills with paying customers every morning.
 
Originally posted by: Whitecloak
dubya will be seen as a visionary.
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Why? Ever since we invaded, I haven't seen a drop of that cheap oil. In fact, we were buying THEM oil for a while...
 
Originally posted by: TrueBlueLS
I'd quit my job, sell my car, and find a new job within walking distance of my house.
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The problem with that is, the economy would be so rooted unemployment would go thru the roof, leaving you no chance to get a job near by. Added to the fact that no body would buy your car because cars are too expensive to run!

Inflation would be astronmical, hyper-inflation could result, the cost of basics like bread would become farcical.

In the end, once, federal oil reserves have dried up, with the inevitable economic dysfunction that would ensue, deep social unrest would break out in violence.

Meanwhile, the US government would consider this an act of terrorism by OPEC and would begin trying to gain control of world oil reserves by force. This in turn would create more middle-east unrest and global anarchy would escalate.

Outcome: we're screwed.

Oh, and here's a great investigation into peak oil Peak Oil
 
All prices will have to rise. What transports the food into groceries? How else can u get ur medicine and such. Fuel is used in much more things than u would think
 
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