I met someone yesterday who is the most optimistic person about the US economy that I have met in well over a year since all the bubbles started bursting. He owns a print shop and has a masters degree in economic studies. And what he said did make sense to some degree. He forecasted that the devaluation of the dollar is a blessing which will lead to more exporting from the US being possible and that this will lead in the next year or two to a new boom in manufacturing in the USA. I hope he is right. I am not so sure. But it was at least good to meet someone who has an optimistic viewpoint about the American economy and where it is headed. If one steps back and takes a deep breath and looks at the shocking increase in gas prices then they can apply this same brand of optimism. .



There is a particularly great advantage of the high price of oil that environmentalists should be celebrating: it is making alternative energy much more attractive, so much so that the rising price may usher in a tidal wave of alternative fuel source projects that will, consequently, lead to a greater share of the market and perhaps the movement of alternative fuel sources into the mainstream. This would be a serious lemons to lemonade sort of scenario.

In the current scene the high price of energy is doing some pretty bad things -- but if it can help tilt the playing field to alternative energy, this silver lining may end up being an amazing turning point in history.

The longer gas prices remain high, the greater the significance of potential consumer reaction. A 10% rise in gas prices lessens consumption by just 0.6% in the short term, but it lowers demand more significantly over a longer period of time

As consumers make major spending decisions, such as where they want to reside and what type of car they want, they are beginning to factor in the cost of fuel. Some are selecting smaller cars or are moving closer to their jobs to lessen gas consumption.

The current situation concern has delayed or impeded many new subdivisons, high gasoline prices have lowered consumption and resulted in less purchasing of, and soaring construction costs are restricting new coal and gasoline refineries.

Meanwhile, a shift in government subsidies from the oil industry to alternative energy sources are generating a frenzy of new clean energy construction.

But the truly amazing thing is that all this is occuring while the real workable method to improvement in fuel economy and helping the environment through cleaner emissions is RIGHT HERE AT