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Automobile-dependent real estate and jobs


By Michinaga   Follow   Sun, 6 Jun 2010, 10:51am   13,258 views   135 comments
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I'm reading a fascinating book -- The High Cost of Free Parking, by Donald Shoup -- which describes the enormous social costs paid by Americans for the "tradition" of individual automobile drivers not having to pay to park their cars. Rather, the costs of maintaining parking spaces are bundled into the prices off the goods we buy, which is not only heartlessly unfair to those who can't drive automobiles, but also creates a tendency for society to be built at automobile-scale, meaning that even people who have no particular desire to drive cars find themselves using their autos just to get to the post office or drugstore because there's no cost to parking there, and things are farther away than they should be.

This got me to wondering: what percentage of US residential real estate is automobile-dependent?

How about jobs? It wouldn't surprise me if more than half the jobs in the US virtually required an automobile in order to commute there.

Are people who can't drive automobiles one of the most under-recognized discriminated-against minorities in the US today? How many communities and jobs are effectively closed off to them?

(I myself once had a job where, for no rational reason that anyone could think of, all employees were required to have valid driver's licenses. At one point it was discovered that I didn't have one, and the fact that I couldn't see well enough to drive a car wasn't a valid excuse. This from a company that insists that it doesn't discriminate based on religion, race, handicap, etc., etc.!)

There are huge ex-urban communities that seem to be precariously dependent on the continuing supply of reasonably-priced gasoline.

Those of you who live in these communities, how do you cope when you have no car? Are you worried about your investment collapsing if (when) oil ever goes sky-high again? Did anyone choose a non-car-dependent neighborhood with a view towards how things might be in 20-30 years?

A "Whites Only" community or place of employment would be looked on with horror by any conscientious person, yet "all employees must have an automobile" -- the equivalent of "No Visually Impaired" -- is perfectly legal and unremarkable.

It's something that surprised me when I go back to the US. Americans are basically compassionate and will almost always express sympathy with minorities who face discrimination, and support laws to help them live and work without hassles. The one exception is automobiles -- nobody seems to care that so many homes and jobs are dependent on them. If you can't drive a car, have you had trouble finding a community where you could buy/rent a home and commute to work without problems?

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  1. Done!


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    96   8:16am Fri 11 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    Nomograph says

    He spends twice that amount every year on weed.

    Probably!

  2. pkowen


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    97   11:58am Fri 11 Mar 2011   Share   Quote   Permalink   Like (1)   Dislike  

    ChrisLA says

    Tenouncetrout says

    That’s only a “REAL” problem in NYC.
    Every where else, its really a matter of people willingness to be Screwed by the businesses they patronize or the places they choose to live.

    I don’t pay to park period, That’s what I pay taxes for.
    I damn sure ain’t paying to park where I work.

    And I’m sorry you lost your license, your car got repoed or you can’t afford gas anymore.

    But every job requires a car. Do you really expect people with means of transportation to take the Bus?

    Just to add to that a bit since I do agree with TT. I do not believe that just because one is destitute and can’t afford a car means everyone else should be forced to pay extra to park theirs. That’s what we already pay taxes for, and prices in the mall/store, etc…
    If cars were owned by only 1% of the society I could see the OP, but when almost everyone has one…. this is a non issue.

    To me it's not about paying for parking. That's not an issue nor is it a solution. It's the issue of massive amounts of tax dollars being diverted toward one specific type of development - CAR oriented, strip mall and suburban hell - rather than other more beneficial development models.

    I would like to see more mixed use, variable densities, more public transit (not buses but light rail, trains, subways), and less green field big box and strip malls, with suburban residential tracts that are nothing but rows of houses with nothing else. Our local governments have rubber stamped and even encouraged this scourge for 60 years or more. Same goes for massive commercial tracts and office parks. It's not a good model, it creates more problems than it solves, and frankly, it is aesthetically awful.

    The problem is most people don't even have the OPTION of not driving everywhere. So many of you like your cars, fine! I love my muscle car and enjoy driving with the top down. But there are days I would like to leave it in the garage and go to work, go shopping, go out and about. In most of the U.S., that is not even a possibility without extreme measures (rent a limo).

    The good news is there has been proven success with something called new urbanism. I think the proof is in the fact that these new urbanist developments immediately become some of the most expensive RE in the areas they are built. This is because it is DESIRABLE.

  3. MarkInSF


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    98   12:05pm Fri 11 Mar 2011   Share   Quote   Permalink   Like (1)   Dislike  

    Tenouncetrout says

    I don’t pay to park period, That’s what I pay taxes for.

    I didn't know you were a socialist. Maybe we get the gubbermint to give us free gasoline too!!

  4. MarkInSF


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    99   12:07pm Fri 11 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    Yes, that is an excellent book. And it's widely read among policy makers here in San Francisco.

  5. MarkInSF


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    100   4:38pm Sat 12 Mar 2011   Share   Quote   Permalink   Like (1)   Dislike  

    Also worth checking out: Howard Kunstler has written and done a lot of presentations on this topic.

    http://www.youtube.com/watch?v=Q1ZeXnmDZMQ

  6. B.A.C.A.H.


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    101   11:54pm Sat 12 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    Damn.

    I drove past a filling station near my home with a sign showing 4.00.9 per gallon of 87 octane, on my way to Arco station with $3.89.9 per gallon. My running fuel expense is up to $349 for the past thirty days. That's for three drivers, includes a Prius and a natural gas Honda ($2.37 per gallon on this morning's fillup), no commuting outside of our city, and one commuter who commutes on public transit instead of driving... and it added up to $349 just for fuel for the past 30 days.

    Damn.

  7. MarkInSF


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    102   11:55pm Sat 12 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    sybrib says

    Damn.

    It's going to get worse. A lot worse.

  8. kiatoa


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    103   5:49am Sun 13 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    MarkinSF: You say "worse, a lot worse", I say "better, a lot better". People are adaptive. We saw this in the last price spike. Bus ridership went up dramatically, efficient car sales went up, guzzler sales went down. As the price of oil soars adaption and innovation will occur. There will be transient pain but long term things will be fine. People will move closer in to the city centers, bicycling and public transportation will grow etc. So, at least for my values, things will get better with high gas prices, not worse :)

    What is more likely though is that prices will come back down again. My hunch (or conspiracy theory) is that the swings in oil prices are intentional. Raise prices for a period to take massive profits but lower them before too many people adapt and change behaviors or buy gas sippers.

    A large portion of the population doesn't think very critically, deeply or long term and will bitterly complain about gas prices while filling up their SUV or F150 for the 20 mile daily commute never even seeing the irony. I think for people like this you can safely keep the prices inflated for several months sucking cash out of their pockets like crazy then bring prices down so they don't trade in the beast for a sipper or move closer to where the work is. Repeat over and over ...

    BTW, I believe that the solution to high oil prices is to tax the oil and pay the collected tax back to the taxpayers as a dividend. Yes, it sounds crazy but I think it makes economic sense. I wrote that up a while ago here: http://kiatoa.blogspot.com/2008/10/why-taxing-resources-makes-them-cheaper.html

  9. YesYNot


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    104   7:28am Sun 13 Mar 2011   Share   Quote   Permalink   Like (1)   Dislike  

    kiatoa, I don't think taxing oil sounds crazy - I've been rooting for that to happen for years. Driving is way too heavily subsidized in the US.

  10. B.A.C.A.H.


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    105   12:28pm Sun 13 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    MarkInSF says

    sybrib says

    Damn.

    It’s going to get worse. A lot worse.

    I think we can handle it, because two of the three of us can use public transit to commute, which I have been doing for awhile not to save money but because I don't like driving in the heavy traffic.

    The third one cannot use public transit, but that commute is only about 15 miles roundtrip (bicycling is not really practical as the commute includes driving over some very substantial hills- in the MidWest they'd probably call it a mountain.) Also, we have among our vehicles a fully depreciated high mileage (40 mpg) gasoline vehicle and another decent mileage (~ 30 mpg) one that runs on compressed natural gas. Yesterday's natural gas price at Pinnacle was $2.37 per gasoline gallon equivalent. Since I began fueling the CNG in 2007 the CNG price has been steadily about 2/3rds the price of liquid gasoline. The other vehicles are about 20 to 27 mpg depending on how we use them.

    And yet, with that usage pattern, about $350 per month for car fuel. No car commutes further than about 15 or so miles R.T. No SUV or Big Bubba pickup truck. $350 per month.

    I can only imagine how it's affecting others. Some economists have said gasoline prices by mid-2008 were the match that lit the fuse of the credit bubble bomb that came in the early autumn. Because, most Americans, renters or mortgage payers or whomever, are strapped and don't have the margin to deal with a sudden disruption in cost of living like that. It's not like they can just go to their boss and demand a raise to pay for the higher gasoline cost.

    When I fueled the small truck at Arco last night ($3.89 in San Jose), people ahead of me in line at the pay station were buying weird amounts. Someone bought $4 worth. Another person bought $10 worth for an SUV. Another guy brought a sandwich bag full of coins; it took the attendant awhile to count it, causing a queue of persons to buildup at the pay window and a queue of cars lining up at the pumps.

    So even if my household can handle the higher gas prices, the economy probably cannot, since unlike iwog most people are not rich, and since unlike Nomograph most people don't have the taxpayers of California supporting them.

  11. American in Japan


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    106   7:10am Fri 18 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    " Are we to believe that the costs associated with maintaining and cleaning rest rooms are heartlessly unfair to people that don’t need to pee?"

    In Prague we did need to pay for that too! Even at McDonalds there was an extra cost of using the restroom. (I think some of them were taking in close to $1000/day).

  12. FortWayne


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    107   7:28am Fri 18 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    I think a lot of people out here miss out on the fact that even if you reduce costs for someone it will not necessarily reduce prices.

    The only thing that really would force prices down is competition, and I really do not see that simply making people pay more for parking would do anything than be another added tax. This to me seems like a non issue, or something too trivial to matter considering the other bigger items government needs to solve.

  13. B.A.C.A.H.


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    108   9:14pm Sat 19 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    sybrib says

    Damn.
    I drove past a filling station near my home with a sign showing 4.00.9 per gallon of 87 octane, on my way to Arco station with $3.89.9 per gallon. My running fuel expense is up to $349 for the past thirty days. That’s for three drivers, includes a Prius and a natural gas Honda ($2.37 per gallon on this morning’s fillup), no commuting outside of our city, and one commuter who commutes on public transit instead of driving… and it added up to $349 just for fuel for the past 30 days.
    Damn.

    Today a week later the price was up to $4.05.9 at the same Chevron. A regressive tax on people who must drive to work for their jobs, at a time when wages are stagnant. Sure is what it feels like.

    Sounds like a lower standard of living.

    Sounds like for those who have a job to drive to, less money for other expenses.

    Like childcare.

    Or tuition.

    Or housing.

  14. robertoaribas


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    109   9:18pm Sat 19 Mar 2011   Share   Quote   Permalink   Like (1)   Dislike  

    this is why I keep buying homes that are A. near public transport, B. near the city employment core. I am seeing increasing rental demand in all of my markets...

  15. bubblesitter


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    110   9:37pm Sat 19 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    Hey sybrib,

    Gas prices are going higher so home prices will follow the suit, just like someone here says "listing price is going up so actual price will also go up".

  16. B.A.C.A.H.


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    111   9:14pm Thu 24 Mar 2011   Share   Quote   Permalink   Like   Dislike  

    There is a partial solution to the problem: carpooling. Nothing wrong with it. Done it before, may wind up doing it again.
    I know lotsa folks who do it, and even more who could, and maybe would, if they thought they had to.

    It's more than just saving gas. It's reducing the stress of daily driving, reducing wear and tear (and ownership cost) on one's own vehicle, grounding us in the reality that we live in society and not in a bubble.

    Ever hear the story of the Bay Bridge Casual Carpooler who met their spouse that way?

  17. SetteBiamma


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    112   7:59am Mon 9 May 2011   Share   Quote   Permalink   Like   Dislike  

    The United States wants access to Osama bin Laden's three widows and any intelligence material its commandos left behind at the al-Qaida leader's compound, a top American official said in comments broadcast Sunday that could add a fresh sticking point in already frayed ties with Pakistan.
    Information from the women, who remained in the house after the commandos killed bin Laden, might answer questions about whether Pakistan harbored the al-Qaida chief as many American officials are speculating. It could also reveal details about the day-to-day life of bin Laden, his actions since the invasion of Afghanistan in 2001 and the inner workings of al-Qaida.

    source: news.yahoo.com

  18. FortWayne


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    113   8:32am Mon 9 May 2011   Share   Quote   Permalink   Like   Dislike  

    sybrib says

    I have a cool-and-hip-tech-job in Silicon Valley and live in suburban sprawl. My partner and I own free and clear four vehicles, but I take public transit to work because it is faster than sitting in traffic, and more flexible than having a carpool partner. Besides I don’t need a carpool partner to get access to the carpool lane anyway as two of my vehicles have the carpool lane stickers, and one of them is NOT a hybrid so its sticker is not set to expire soon.

    That's an exception to the rule, not the rule. Out here in LA transportation is horrible. Most people do need cars to work. And if you go out into more rural areas it's even more of a must.

  19. zzyzzx


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    114   6:21am Wed 18 May 2011   Share   Quote   Permalink   Like   Dislike  

    Zlxr says

    The idea behind the Smart Meters is that eventually we are supposed to pay according to the time of day we use electricity with basically 8 a.m. - 6p.m. or so being the most expensive time of day.

    Expect "time creep", with the utilities changing the time period for cheaper electricity to later and later into the evening.

  20. zzyzzx


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    115   6:24am Wed 18 May 2011   Share   Quote   Permalink   Like   Dislike  

    YesYNot says

    kiatoa, I don’t think taxing oil sounds crazy - I’ve been rooting for that to happen for years. Driving is way too heavily subsidized in the US.

    I am in favor of taxing imported oil and eliminating domestic oil subsidies.

  21. Done!


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    116   7:35am Wed 18 May 2011   Share   Quote   Permalink   Like   Dislike  

    I'm in favor of declaring California as America's France.

  22. APOCALYPSEFUCK is Shostakovich


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    117   6:14pm Mon 23 May 2011   Share   Quote   Permalink   Like   Dislike   Protected  

    My longest commute was a half-hour walk from Paddington to Strawberry Hills in Sydney. That is reasonable. Sitting in traffic listening to gun fire and all-hate, all-rage AM radio for hours on end is twisted. If you can't get the boss or owner to move the business to within walking distance of your house, get another gig closer or start your own business.

  23. StoutFiles


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    118   7:10pm Mon 23 May 2011   Share   Quote   Permalink   Like   Dislike  

    MarkInSF says

    Almost all of it. Most post-WWII cities were designed with an automobile as the assumed mode of travel. It’s why I personally can’t stand most of America, and choose to live in San Francisco. I really don’t understand the appeal of sitting in traffic for an hour a day, and at both ends of the commute being a cultural desert.

    Um, only the people living outside large cities like San Francisco are sitting in traffic for a long time. People who don't live or work in huge cities have no traffic problems, and don't pay to live in one of the most overpriced cities in America. But hey, San Fran is the greatest city ever, right? You just keep drinking that Kool-Aid!

  24. raindoctor


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    119   9:03pm Mon 23 May 2011   Share   Quote   Permalink   Like   Dislike  

    StoutFiles says

    People who don’t live or work in huge cities have no traffic problems, and don’t pay to live in one of the most overpriced cities in America.

    You need to consider the fact of finding jobs. Yes, one doesn't need to spend in traffic where jobs hardly exist. Chicago metro, Sf bay area, LA/OC, San diego, NY metro, Boston, etc--all these job centers have traffic problems.

  25. ih8alameda


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    120   9:09pm Mon 23 May 2011   Share   Quote   Permalink   Like   Dislike  

    sybrib says

    So even if my household can handle the higher gas prices, the economy probably cannot, since unlike iwog most people are not rich, and since unlike Nomograph most people don’t have the taxpayers of California supporting them.

    That's exactly what my wife and I talk about as well. Our gas costs have gone from $100 to $400 a month in about a yr. Our two cars avg about 28mpg overall, so not horrible, commute is about 5 miles and 15 miles per person, so less than the avg bay area commute, are others not feeling it? I don't get it.

  26. John Bailo


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    121   3:09am Tue 24 May 2011   Share   Quote   Permalink   Like   Dislike  

    Go to the most "transit-rich" and high density areas of cities.

    What do you see?

    Yep, cars. Everywhere people still have cars, park cars and drive in cars, even in Manhattan and in the most "urbist" neighborhoods around Seattle like Capitol Hill.

    You can moan until you're blue in the face about "auto dependent suburbs" but a reality of the 21st century is that Personal Transit dominates over Mass Transit and is one of great freedoms of mankind.

  27. B.A.C.A.H.


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    122   9:00pm Wed 25 May 2011   Share   Quote   Permalink   Like   Dislike  

    John, us cityfolk like our cars when cars do better, and like our public transit when it does better. We like to have it both ways. And, even though we like our cars, we don't depend on them. They are a luxury, a discretionary expense, a toy. But we don't depend on them nor on the friggen enemies of the US who sell petrol to us.

  28. ¥


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    123   10:55pm Wed 25 May 2011   Share   Quote   Permalink   Like   Dislike  

    thunderlips11 says

    Sounds weird but there is a great spiritual/emotional/mental aspect to living in pedestrian-based cities.

    yup. It's nice having streetscapes exist for people and not cars.

    Feels like Disneyland for a while.

    My first full day in Japan was spent in this locale:

    http://goo.gl/maps/G8YN

    Busy suburban city, ~100M from the train station. Nary a car on the road. It was awesome & I'd love to go back there again.

  29. StoutFiles


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    124   8:09am Thu 26 May 2011   Share   Quote   Permalink   Like   Dislike  

    sybrib says

    John, us cityfolk like our cars when cars do better, and like our public transit when it does better. We like to have it both ways. And, even though we like our cars, we don’t depend on them. They are a luxury, a discretionary expense, a toy. But we don’t depend on them nor on the friggen enemies of the US who sell petrol to us.

    We buy their oil because they stupidly sell it to us. Once they're out, they're out...and we have huge natural reserves as well as plenty of untapped oil. Plus, what the government won't tell you is that they want gas prices to stay just high enough to not break the economy because they want people out there buying new, full-efficient cars. Buying foreign oil is a win-win.

  30. UAVMX


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    125   10:10am Thu 26 May 2011   Share   Quote   Permalink   Like   Dislike  

    no free parking? Why do we pay so much for gas tax, car registration, sales tax on your car, etc. Thats what should be paying to maintain roads and parking lots. There are plenty of FEE parking sites, especially in cities. But I shouldn't have to pay to park at a grocery store or post office....

    its scary when people really start thinking about this garbage

  31. corntrollio


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    126   10:38am Thu 26 May 2011   Share   Quote   Permalink   Like   Dislike  

    ih8alameda says

    Our gas costs have gone from $100 to $400 a month in about a yr.

    How is that possible? Let's assume a year ago that gas prices in the Bay Area were $2.50 and now they are $4.50 (actually lower than that now). If you drive, let's say, 25K miles a year between the two cars, and average 28 mpg, then that's 893 gallons. At $2.50, that comes to $2232. At $4.50, it's $4018. The difference is $149/month, which is half what you quoted.

  32. corntrollio


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    127   10:41am Thu 26 May 2011   Share   Quote   Permalink   Like   Dislike  

    StoutFiles says

    We buy their oil because they stupidly sell it to us. Once they’re out, they’re out…and we have huge natural reserves as well as plenty of untapped oil.

    Stupidly sell it to us? Is it stupid to sell a commodity if you pay $100/barrel for it when it costs $20-30 to produce? Maybe we're the stupid ones for not taking advantage if we have such huge natural reserves, which doesn't seem to fit with the facts.

    StoutFiles says

    Buying foreign oil is a win-win.

    I don't think any economist agrees with that. Right now, it produces massive trade imbalances.

  33. StoutFiles


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    128   11:32am Fri 27 May 2011   Share   Quote   Permalink   Like   Dislike  

    corntrollio says

    Stupidly sell it to us? Is it stupid to sell a commodity if you pay $100/barrel for it when it costs $20-30 to produce? Maybe we’re the stupid ones for not taking advantage if we have such huge natural reserves, which doesn’t seem to fit with the facts.

    Guess how much our oil will be worth when there's hardly any left? Plus, you always want a lot of oil in case something were to happen that would halt trading, like a world war. We pay a premium now for both security and for a future monopoly.

  34. corntrollio


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    129   11:52am Fri 27 May 2011   Share   Quote   Permalink   Like   Dislike  

    StoutFiles says

    Guess how much our oil will be worth when there’s hardly any left?

    Please. If it made economic sense for Exxon to sell more domestic oil, they would be doing it. The fact is that we can't produce that much more under current conditions, and it has very little to do with security. Nice trolling, sir.

  35. bob2356


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    130   12:00pm Fri 27 May 2011   Share   Quote   Permalink   Like   Dislike  

    StoutFiles says

    Guess how much our oil will be worth when there’s hardly any left? Plus, you always want a lot of oil in case something were to happen that would halt trading, like a world war. We pay a premium now for both security and for a future monopoly.

    No one could be that clueless about oil production, could they?

  36. HousingWatcher


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    131   3:20pm Sat 28 May 2011   Share   Quote   Permalink   Like   Dislike  

    "The fact is that we can’t produce that much more under current conditions, and it has very little to do with security."

    That is complete nonsense.

  37. drew_eckhardt


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    132   9:17pm Thu 7 Jun 2012   Share   Quote   Permalink   Like   Dislike  

    B.A.C.A.H. says

    Damn.
    I drove past a filling station near my home with a sign showing 4.00.9 per gallon of 87 octane, on my way to Arco station with $3.89.9 per gallon. My running fuel expense is up to $349 for the past thirty days. That’s for three drivers, includes a Prius and a natural gas Honda ($2.37 per gallon on this morning’s fillup), no commuting outside of our city, and one commuter who commutes on public transit instead of driving… and it added up to $349 just for fuel for the past 30 days.
    Damn.

    Today a week later the price was up to $4.05.9 at the same Chevron. A regressive tax on people who must drive to work for their jobs, at a time when wages are stagnant. Sure is what it feels like.

    I don't see the big deal. When I started driving I got about 15 highway MPG, spent $1.10 a gallon in nominal dollars or $2.04 in 2012 dollars, and was spending $0.136 per mile in current dollars. My current car gets 29 highway MPG, gas is $4, and I'm spending $0.138 per mile.

    That's business as usual.

    We chose a small home centrally located for work, bike a lot, and in the last 30 days spent $52 on gas for my wife and I.

  38. APOCALYPSEFUCK is Shostakovich


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    133   9:24pm Thu 7 Jun 2012   Share   Quote   Permalink   Like   Dislike   Protected  

    After 10 bucks a gallon or so, people will start shooting. At $15, cannibal anarchy.

  39. drew_eckhardt


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    Sunnyvale, CA

    134   9:31pm Thu 7 Jun 2012   Share   Quote   Permalink   Like   Dislike  

    B.A.C.A.H. says

    The third one cannot use public transit, but that commute is only about 15 miles roundtrip (bicycling is not really practical as the commute includes driving over some very substantial hills- in the MidWest they'd probably call it a mountain.)

    One week I rode 418 miles from Grand Junction, CO to Golden, CO with 30,000 feet of climbing over real mountains between them. It felt great.

    5 x 15 miles = 75 total in a week is not a big deal even with some real mountains in the middle.

  40. joshuatrio


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    135   8:09am Tue 4 Sep 2012   Share   Quote   Permalink   Like   Dislike  

    drew_eckhardt says

    B.A.C.A.H. says

    The third one cannot use public transit, but that commute is only about 15 miles roundtrip (bicycling is not really practical as the commute includes driving over some very substantial hills- in the MidWest they'd probably call it a mountain.)

    One week I rode 418 miles from Grand Junction, CO to Golden, CO with 30,000 feet of climbing over real mountains between them. It felt great.

    5 x 15 miles = 75 total in a week is not a big deal even with some real mountains in the middle.

    +1.

    My roundtrip bike commute is about 17 miles (short way), and 23 the long way. I do this minimum 3 days a week. Hills/mountains and all.

    Even if you don't ride every day, start with 1-2 days a week, and gradually build up. It's hard, but once you get in the habit, you'll never want to be back in your car again.

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