$100.01: Oil reaches record high.

A major concern in today’s economy: oil prices. The law of supply and demand states with an increase in price comes a fall in demand and vice versa. With low demands for oil in the market, shouldn’t we begin to see a drop in prices? In March, patrons at the pump should expect an increase in price at the pump of $4.51 a gallon bringing an all time record high of $100.01 a barrel in the New York Mercantile Exchange. Many analysts also have doubts and no fallible explanations towards justifying the oil industry’s reasoning behind oil price increases. The oil industry is still making headlines and not positive ones to be exact. Many angered citizens who simply refuse the outrageous prices even go so far to find different means of transportation. Therefore, what really are the reasons the prices still aren’t falling due to a decline in demand when there have been studies based on this in our economy?

Ultimately the oil industry is the only factor benefitting from this and many, including myself, still have to suffer. A lot of blame is put on the president for the problems in our economy today, but I strongly feel the whole government is the one to be at blame. At first it was understood to see an increase in oil prices after the tragic 9/11 incident. It was relevant because the military needed fuel to go overseas and operate their vehicles. Yet, several years later and we’re still seeing an average of high prices and no signs of inflation. I strongly agree with many Americans in labeling the oil industry as “crooks,” and await the day for prices to drop back to when a single $20 bill could fill up a full tank.

$100.01: Oil reaches record high.