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Oil at $120 a Barrel today, does it affect your driving???

With oil hitting record highs even when new oil fields with multi Billion Barrels of oil are being found off the coast of Florida in The Gulf of Mexico, does this affect your driving clients around as well as driving around to look at inventory???

I find it all very interesting when The CEO of Exxon Mobil is on CNBC saying the range of Crude Oil should be traded between $45 - $70 a Barrel and yet speculators are driving the prices up and up...

Now before you get to freaked out, here are some stats from the 1970's to today...

Money Magazine had a great article on this today. in the Debunking The Dommsday Scenarios, Gas prices was brought to task....

In the 1970's Stagflation, High Oil Prices led to a toxic combination of rapid inflation and slow growth, dampening stock prices for more than a decade...

Why Today Is Different...

The U.S.A. is twice as energy efficient. Plus, at the market high, growth stocks were not overvaluded as they were in t1972.

Oil use barrels consumed per $1,000 of GDP...
1.09 in 1972 and now 0.47 in 2008

P/E Ratio
42 in 1972 "Nifty Fifty" Growth Stocks
19 in 2007 Blue - Chip Growth Stocks

So you see, it aint all that bad

Compared to the 1970's, but still how is your driving being affected???

Posted by Ryan Servatius on 04/22/2008 02:14 PM

Comments (9)

mpg, gasoline prices, oil, driving, clients, showings, tours

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9 Comments on Oil at $120 a Barrel today, does it affect your driving???

No, this does not effect my driving. I have places to go, people to see, and I must work. I do a lot via email so contracts can get to the other party by scanning instead of driving to meet someone, but that hasn't changed as I've always worked that way.

Overall, I don't think it effects most people. Everyone must get to work or do whatever they do each day. Income must come in for you to pay those bills, and you must get to work to make the money... it's a circle that won't be broken.

04/22/2008 02:22 PM

by Donna Harris, ASP (Re/Max HiNet)

Right now I'm trying to find a way for my partner and I to be able to ride in one car on Friday rather than take two cars. I'm not having much luck. Our lives are structured around having freedom of movement. My first car was an 8 cylinder 1969 Chev Impala (a boat) and gas was 25 cents a gallon. Gas was just as expensive then (relative to income) as it is now. It's all relative.

04/22/2008 02:22 PM

by June Piper-Brandon, CRIS, ePro, Broker (Advance Realty Anne Arundel Inc.)

Well, in the 1970's, I was driving in a pram. LOL! I now try to accomplish as much as I can when I have to drive somewhere: pick up the mail, pay bills, stop by the office, pick up a few groceries. Make the most out of my gas money.

04/22/2008 02:23 PM

by Tiffany Wilson (Shorewood Realtors)

04/22/2008 02:24 PM

by Tiffany Wilson (Shorewood Realtors)

You know the prices do affect things - but I think some people, like myself, learn to cut back in other areas because in this job you can't just stop showing homes. You know what I mean?

04/22/2008 02:25 PM

by Colorado Real Estate - Christina (Colorado Real Estate)

I for one will note that I lean more to drive the BMW 3 Series over the Ford Explorer, as the V8 in the Explorer loves to eat fuel, while the stright 6 cylinder of the 3-Series gets great mileage in the upper 20's...

04/22/2008 02:27 PM

by Ryan Servatius (ERA Network Real Estate)

Definitely has had an affect. Now I do more and more preparation work at home.

04/22/2008 02:41 PM

by DDR Realty, Orange County, NY

Immensely! The only difference back then was gas lines!

04/22/2008 03:07 PM

by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO (RE/MAX Greater Atlanta)

If oil goes to $200 we would still have to drive. I try not to get fixated on the cost for a tank of gas. The way I look at it.....I NEED it to be productive. It's just a cost of doing business. My two cents :)

04/22/2008 04:56 PM

by Stephen Winters - ABR (Remax Realty Specialists)

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