I have been predicting for three months, gas would hit $1.40 a gallon.  Now I’m just one Cent away. 

In September, car sales where down as people stopped buying SUVs because of the high gas prices. Then things started to slide and gas prices started to fall. Even before the economy turned bad, I said gas would keep falling as people drove less.

Living in Oklahoma ,(an oil state) I’ve seen this happen again and again. Oil booms and companies like Chesapeake Energy start spending money like it was water.  Then about every twenty years, surprise surprise surprise, it all goes bad.  Then they start going bankrupt and putting people out of work.

This time Oklahomans are a little smarter then the last couple or rounds.  Oil companies are stunned but not out. Medium size businesses are still building. Most companies are not hiring but there have not been a lot of layoff either. 

I think the goverment needs to do some trickle up.  Like the space program, create a National Energy Administration and become energy independent in ten years. Nationalize the process but create incentives for busness to produce renewable energey based on their local resources. Wind is in places like Texas, Oklahoma Kansas and  solar is in New Mexico and so forth. 

(by the way the gas station shown is at 50th & McArthur and photo was taken on Dec 7 2008)

Update (Dec 27 2008) Gas prices reached as low as 1.39 at my station.  They were there for about four days. Now they have been in the high fourtys or low fifties for several weeks. 

I’m expecting it to say her untill Feburary when it will start to rise again.