OIL

Oil is at its all-time inflation-adjusted high, gas prices soon to follow. I think we are on the verge of a serious economic crisis, and I think the main culprit is the price of energy, specifically oil.

We could be looking at a late 70s situation again, with record inflation as well. Stir that up with the current sub-prime crisis (and the Fed cutting rates to try and bail it out)
, consumer debt in general, throw in the fact that we are spending billions on useless wars overseas, and I think we might have the perfect formula for another depression. Unemployment will undoubtedly go up soon. It may only be a matter of time before overseas investors start pulling out of the U.S.

I don't mean to sound all doom and gloom, but I really think we are in trouble here. It seems that no one cares either. The American auto manufacturers are going to be in for a rude awakening, since they continue to manufacture gas-guzzling vehicles that soon few will be able to afford to drive. Why are hybrids not the only thing being manufactured now? Aside from the fact we know that green house gases are depleting the ozone, causing global warming, the fact that we are contributing to killing our own economy by our driving habits/vehicle choices boggles the mind.

The government better wake up soon, and I can only hope it isn't too late.

P.S. - check out the current price of a barrel of oil on the right side of the page. I remember a few years ago when it was like $30 a barrel and if it got over $40 people freaked....

One last note - wheat prices are now at a record high too.
Double whammy here, as farmer's are growing grains for things like ethanol (which I personally don't believe is doing much for our energy crisis - I mean, I am not aware of a single gas station locally that sells E85, and most cars can't run on it) to add to food inflation, along with energy costs.....