Gasoline prices in my area of north Alabama today are just below $3.50 per gallon for regular grade. That's with the price of West Texas Intermediate at about $105 per barrel.
Folks around here have been hit quite hard by the depression since the fall of 2008, and things are not getting any better. Now, we have inflation, the inevitable outcome of QE1 and QE2.
When gasoline hits $4.00 plus per gallon by April (and it seems on track to do just that), what is going to happen to the price of food and other necessary items that must be processed and shipped, both of which directly involve the use of gasoline and diesel fuel? What happens when the price of fuel hits double digits per gallon?
In short, there is going to be lots of misery among the common folks (i.e. those not tied to government or entities favored by government). The bankers and their friends can afford $20 per gallon gasoline and $10 loaves of bread and still live luxuriously--the rest of us will be paupers.
Do the powers-that-be understand that this is an unstable, dangerous situation they have created? I can't believe they are too stupid to know that. Do they simply not care? Well, by their actions they seem oblivious to the suffering of others.
What will finally trigger a popular explosion of violence in America? I don't think anyone knows the specifics; however, I can assure you we're much closer to that day today than we were only a month ago. And when it does come and the genie is out of the bottle, it won't be pretty. So be prepared. The time you have before the deluge is as precious as gold--use it wisely.
And live well . . .