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High oil prices change consumers' attitude
Agencies
Published in The Saudi Gazette on 20 - 04 - 2008

As gasoline and crude prices continue to climb, Americans adjust driving and travel plans, research fill-ups
With oil and gasoline prices at all-time highs, the most luxurious indulgence of the seductively-curved Lamborghini Gallardo Spyder might be that it gets 12 miles per gallon.
Parked outside the Bentley Gold Coast dealership in downtown Chicago on Friday, the $264,570 roadster inspired the fantasy that some can afford to forget the $3.64 a gallon average charged by gas stations citywide.“When you buy this, you probably don't think about the gas, insurance or anything,” said Grigor Harutunyan, a medical student passing by the Lamborghini with a friend.
“It takes a back seat?” the friend joked.
“It takes a back seat,” Harutunyan said.
But gasoline remains at the forefront of an American economy now painfully adapting to the realities of escalating oil prices. With the problem compounded by a declining stock market and rising unemployment, many consumers have started trimming household budgets that are not nearly as recession-proof as 512-horsepower sports cars.
Light, sweet crude futures closed at a record $117 a barrel Friday, while AAA reported gas nationwide averaged a record $3.44 a gallon and diesel $4.16 a gallon. It was the fifth consecutive day that oil futures hit a new peak on the New York Mercantile Exchange, with the latest daily price surge caused by rebels in Nigeria damaging a pipeline owned by Royal Dutch Shell.
US Department of Energy projected that gas prices could cross $4 a gallon this summer, a consequence of the traditional family vacation, instability in some oil-producing nations and increased demand from emerging economies such as India and China. __


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