I was listening to an NPR show the other day and they were interviewing a limo rental driver in Manhattan who is self employed, and the reporter was asking him how he would cope, now that oil is flirting with $100 a barrel prices. The limo rental driver said that he was currently spending $25 to $30 a day on fuel, and he was not sure what would happen when it went up. He said he was currently paying $3.53 a gallon, and was not looking forward to paying more.
According to the NPR news report, the high price of fuel is going to affect more than just that limo rental driver. They said that world wide demand for oil, coupled with bad weather and instability in the middle east, is driving the high price of oil. It would be good if these oil producers would take a clue from home builders in the US who did not take into account the fact that as home prices escalated, incomes were not, thus making their pool of buyers much smaller.
