It started yesterday, with a guest on a news program saying with considerable conviction, that Crude Oil prices could go to as high as $150 to $200 per barrel.
It had to do with the Middle East, and the problems in Syria, Egypt and Libya... the Suez canal, and the pipelines (Sumed) (East Mediterannean) that cross these countries. (Suez Crisis 1956)
Overkill for sure, and so far, not really shaking up US concerns about the effect on the econmy... Just enough to get me to overthinking the effect on my retirement... Not war or anything like that, but initially, just the cost of Gasoline.
Maybe to $5 or even $7 per gallon. As I dug in a little further, like how many gallons of Gas in a Barrel of Crude?, that led to the other costs that would be affected by oil disruption.
First off, what comes out of a 42gallon barrel of Crude. Interesting stuff that I, for one, didn't know. Answer here:
http://lubinlib.typepad.com/index/files/petrochems.pdf
As of today, the price of West Texas Crude looks to be about $110, vs. $87 a year ago.
Next, the cost of energy in general... and what else could affect our out of pocket costs in the future. http://www.eia.gov/tools/faqs/faq.cfm?id=427&t=3
So, yeah, oil doesn't account for much in the production of electricity, but the overlap of energy costs will be directly affected.
Tranportation of goods, aviation fuels, commutes, vacation travel, and per the first link... the increased cost of oil based materials for the goods listed...
all of these could be a tumbledown factor for costs.
This is not intended as a political or a scare post... what will be will be, but with time to think out possible ramifications, I look to my own financial situation, to see what it could mean to my lifestyle and pocketbook. Heating, cooling, auto fuel costs, increased food costs (transportation), and household goods. Probably not too serious, but something to consider.
Yes... we could be hit by a rogue comet, a plague, a crop failure, an uncontrollable epidemic, or an alien invasion. I don't think that problems with oil shortages really need a lot of discussion, but I have to admit that guy sure scared me.
It had to do with the Middle East, and the problems in Syria, Egypt and Libya... the Suez canal, and the pipelines (Sumed) (East Mediterannean) that cross these countries. (Suez Crisis 1956)
Overkill for sure, and so far, not really shaking up US concerns about the effect on the econmy... Just enough to get me to overthinking the effect on my retirement... Not war or anything like that, but initially, just the cost of Gasoline.
Maybe to $5 or even $7 per gallon. As I dug in a little further, like how many gallons of Gas in a Barrel of Crude?, that led to the other costs that would be affected by oil disruption.
First off, what comes out of a 42gallon barrel of Crude. Interesting stuff that I, for one, didn't know. Answer here:
http://lubinlib.typepad.com/index/files/petrochems.pdf
As of today, the price of West Texas Crude looks to be about $110, vs. $87 a year ago.
Next, the cost of energy in general... and what else could affect our out of pocket costs in the future. http://www.eia.gov/tools/faqs/faq.cfm?id=427&t=3
So, yeah, oil doesn't account for much in the production of electricity, but the overlap of energy costs will be directly affected.
Tranportation of goods, aviation fuels, commutes, vacation travel, and per the first link... the increased cost of oil based materials for the goods listed...
all of these could be a tumbledown factor for costs.
This is not intended as a political or a scare post... what will be will be, but with time to think out possible ramifications, I look to my own financial situation, to see what it could mean to my lifestyle and pocketbook. Heating, cooling, auto fuel costs, increased food costs (transportation), and household goods. Probably not too serious, but something to consider.
Yes... we could be hit by a rogue comet, a plague, a crop failure, an uncontrollable epidemic, or an alien invasion. I don't think that problems with oil shortages really need a lot of discussion, but I have to admit that guy sure scared me.
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