Predictions on Moab?

[SAMI]

Think of the small towns away from everything that will suffer when gas reaches $6...8..10 a gallon.. Travel industry'll be in the tank zone for sure..

I just now thought of the affect to destination spots such as Moab, it's kind of depressing.

Maybe less traffic will be somewhat good for not destroying the land, but then there's always the one yahoo that'll still manage to pound another nail into our coffin of land closures.. Rallying a 4x4 club for service might be slightly harder due to higher cost as well??? EJS i'm sure will keep going, but not nearly as high volumes of vacationers as years past..

I know there's the die hards, that'll still be saving to specifically do a weekend trip here and there. But it's already tight, and hard to pick up and leave on a whim for alot of people...

hhmmff... :-\

 

[Cody]

I predict it will stay about the same. tourism will slow down, but people will still go there.

I don't know that fuel will reach 8-10 per gallon anytime in the near future.

 

[SAMI]

I predict it will stay about the same. tourism will slow down, but people will still go there.

I think people will continue to go there as well.. I'm just curious how much it will slow down i guess...

I don't know that fuel will reach 8-10 per gallon anytime in the near future.

I sure as hell hope it doesn't... I hear people saying "they" predict it too... "they".. pfftt... People 'oughta predict it to go DOWN, then we'd be gettin somewhere..

 

[Cody]

then buy up a big short position on oil futures

can you hold short positions on commodities? hmm, never really thought about that.

 

[Dominic]

I would worry about other things if it ever got to that point. I would guess that the government would step in if it started looking that bleek. We have a ridiculous amount of oil in reserve. After the election things will calm down again. Just my guess. Besides mudflap you don't even bring your **** box to Moab anyway's so it should be an easy transition for you.

 

[SAMI]

Besides mudflap you don't even bring your **** box to Moab anyway's so it should be an easy transition for you.

True, but it'll be so much harder to mooch off of others down the road

b**ch.. I haven't had my new rig down there I know, however, with upcoming plans I have to be really carefully with money.. Once we get the business loan i'll be back on the road! ...

 

[Cody]

Also, the higher gas becomes, the more pressure there will be on the government and auto manufactureres to come up with efficient motors and alternative fuel sources. I think once big oil sees these initiatives start to take a chunk from their profits, they will jump on the bandwagon to try and get a share of the next generation of energy sources.

 

[Dominic]

We will all be in big trouble if diesel gets that high we have already seen a hike in goods because it's costing the trucking industry more to pay for fuel to ship goods and they are making less money per load.

 

[SAMI]

We will all be in big trouble if diesel gets that high we have already seen a hike in goods because it's costing the trucking industry more to pay for fuel to ship goods and they are making less money per load.

In the last few weeks i've had atleast 5 memos come across my desk from companies that we are suppliers for; informing us that they are implimenting increases in their prices, some up to 8%..

 

[RockMonkey]

Most analysts are not predicting that kind of rise in gas prices. In fact, recent news seems to be indicating a drop in fuel prices. Asian countries are currently subsidizing the cost of fuel for their citizens. Basically, they buy the fuel at market prices, and sell it to their citizens at a much lower price. That is why the demand is so high in these countries. They aren't paying what we do. They couldn't. These countries can't continue to do this. India just raised the prices ten percent, but they need to raise the prices 40 percent to be able to maintain this subsidy, or the government will go bankrupt. Basically, demand is artificially high right now, and supply has stayed the same, resulting in higher prices. When the subsidies go away (because the Asian governments can't afford to keep them), demand will return to where it should be, and prices will fall to balance the equation. Basically, all indications are that we are in an energy bubble, and once it bursts prices will fall, or at the very least they will stabilize.

 

[RockMonkey]

Related reading:

http://www.iht.com/articles/ap/2008/06/04/business/AS-FIN-Asia-Fuel-Price-Hikes.php

 

[SAMI]

Good to know Brayden, and good atricle.

What happens when they go bankrupt? Does the US step in and give billions in aide? We're known for being there for everyone else, and i think that could really come back to bite us in the ass... If it hasn't already

Am i being Pessimistic?

 

[Meat_]

People will still go to Moab, but they will go less often and perhaps stay longer.

...We have a ridiculous amount of oil in reserve...

In the ground yeah, but the Strategic Petroleum Reserve only contains a 58 days worth of oil at our current consumption level. However it is only capable of 4.4million barrels a day out put, which is slightly over 1/3 of our daily usage. They could use it to supplement, but after it was depleted the price of crude would sky rocket because we would then need to replenish the SPR.

We need to stop buying stuff at Walmart so that China will be poor again and unable to buy our crude oil.

 

[SAMI]

I can see the parody commercials for "The Truth Against Wallmart".. Bunch of teenagers starving in their homes cause they can't drive to the store to get food, all because the gas prices are so high thanks to China buying all the oil, thus causing the price to be out of american's reach; though even if they do make it to the store to get food is something like $30 for a bag of Fruitios, and they had to cook the dog since the dog food was $65 a bag...

 

[Cody]

Most analysts are not predicting that kind of rise in gas prices. In fact, recent news seems to be indicating a drop in fuel prices. Asian countries are currently subsidizing the cost of fuel for their citizens. Basically, they buy the fuel at market prices, and sell it to their citizens at a much lower price. That is why the demand is so high in these countries. They aren't paying what we do. They couldn't. These countries can't continue to do this. India just raised the prices ten percent, but they need to raise the prices 40 percent to be able to maintain this subsidy, or the government will go bankrupt. Basically, demand is artificially high right now, and supply has stayed the same, resulting in higher prices. When the subsidies go away (because the Asian governments can't afford to keep them), demand will return to where it should be, and prices will fall to balance the equation. Basically, all indications are that we are in an energy bubble, and once it bursts prices will fall, or at the very least they will stabilize.

thats interesting. Although, with our trade deficit some of those countries could probably afford to subsidize fuel for a long time before things even out.

****, we've been running on monopoly money for years. works for us!

 

[RWH]

As I understand it the Strategic reserve is for military use. I would like to see a grassroots movement towards "sacrificing" ridiculous environmental restrictions on drilling and start pulling the oil out of all the oil shale here under our state and those surrounding us. This "green" craze that has people falsely believing to do so would ruin habitat and increase "global warming" to the point of making the earth uninhabitable keeps me "Wishing in one hand and sh!tting in the other."
In the mean time, I'll be converting to dual fuel in my JK and get me some Natural Gas.

 

[Dominic]

As I understand it the Strategic reserve is for military use. I would like to see a grassroots movement towards "sacrificing" ridiculous environmental restrictions on drilling and start pulling the oil out of all the oil shale here under our state and those surrounding us. This "green" craze that has people falsely believing to do so would ruin habitat and increase "global warming" to the point of making the earth uninhabitable keeps me "Wishing in one hand and sh!tting in the other."
In the mean time, I'll be converting to dual fuel in my JK and get me some Natural Gas.

I remember a few years back when Bush opened up the reserves because we were at a surplus gas dropped down way down for a bit.

 

[Cherokeester]

I went to Moab last weekend and I made a point to ask the business's I went into if they had been affected by the gas and economic problems. Every restaraunt said they were slower but not to bad and every motel said they were doing about the same. I think gas is going up with no end sight. I hope I am wrong.

 

[Dominic]

I went to Moab last weekend and I made a point to ask the business's I went into if they had been affected by the gas and economic problems. Every restaraunt said they were slower but not to bad and every motel said they were doing about the same. I think gas is going up with no end sight. I hope I am wrong.

I have been down alot this year and it's been as busy as it has been in years past.

 

[Cody]

Our GSW event had it's lowest turnout in about 6 years. I think a big part of it is the gas prices, but some of it can be contributed to the event losing it's novelty.