I know, I know — I'm hammering this home. Gasoline prices and down again, Under $3 a gallon for the first time in a year. I thought these prices were going to blow us out of the water and destroy our economy. I though people couldn't afford houses because they had to fill their car. So what happened?
The market happened. People starting using less fuel, the supply went up, the price went down. The price of oil is a bit more complicated, but it works the same way. A barrel of oil will soon be a third of what it was three months ago. The rising dollar has helped.
Where are all the naysayers?
JVH
One Response
What this proves is that we can change the demand side of the equation which is good because it shows people can and will adjust.