Oil Prices Reach $90 A Barrel

The price of oil has risen to $90a barrel for the fist time ever. the funny (or sad) thing is I remember driving to work one morning a couple of years ago and hearing them say that gas prices then were where they should be if oil was $90 a barrel. I don't remember exactly how much gas cost then, but it was probably somewhere between $2.00 and $2.50. The price per barrel was about $65-$70.

Assuming that they were $2.50 at the time, that means that gas prices here are only 22 cents more then they should be. The main problem is why have gas prices been so high for so long. My guess is that prices at the time I heard that should have been between $1.50-$2.00. So why are they so high? Simple. "Tensions in the Middle East." We'll just ignore the fact that we only got about 15% of our oil from there.

So why are gas prices so high? Because oil companies decided to "reduce production." Artificial reductions mean higher gas prices since there is supposedly less oil being reduced. And the worse part is there is basically nothing we can do about it.