Ask The Best And Brightest: What Is Your "Freak Out" Gas Price?

Edward Niedermeyer
by Edward Niedermeyer

Mike Jackson, CEO of AutoNation, one of the biggest auto retail chains in the country, argues [via Bloomberg] that lower inventories and more-efficient offerings have prepared the US auto industry for higher gas prices. As a result

Consumers are signaling it will take higher gasoline prices than the worst of 2008 to curb new- vehicle sales… The “freak-out number” at the gas pump is likely about $4.50 a gallon for unleaded regular

“A dramatic spike is not good for economy and not good for our industry, but we’re better prepared for it than we were in summer 2008,” said Jackson, 61. “Even though we’ve moved 40 to 60 cents higher at the pump in the past three months, we haven’t seen any change in consumer behavior.”

Interesting theory… but does it hold up for you? What are your “freak-out numbers,” and what will you do when gas prices hit them?

Edward Niedermeyer
Edward Niedermeyer

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  • Steve from virginia Steve from virginia on Feb 04, 2011

    I got rid of the gd car last year and will not look back. Gas can go to $100/gallon, I don't care. If I want to get somewhere I walk. Sometimes I take the subway. Gas prices won't get to $100, too many broke folks so the current price is likely as high as it will get.

  • Felis Concolor Felis Concolor on Feb 04, 2011

    I don't know what the price point will be, but I'll know I've reached it when I add a cabin heater to my Haflinger.

  • Bill Safreed Bill Safreed on Feb 04, 2011

    The last spike in fuel prices was one thing that drove us into a recession, a bigger spike will be a depression. I'd wager I'll see many more oil wells being drilled in our area and I'll have to stop heating with oil, the heat pump will have to do.

  • AKRonald AKRonald on Mar 06, 2011

    For driving, when the cost of gas equals the cost of depreciation + insurance, the Schwinn is going to suffer beneath 260 lbs of "freaked out" commuter. Fortunately, Albuquerque has 400 miles of bike path/trail/lanes. As far as the cost of transporting goods, with CSX claiming to move a ton 900 miles per gallon, it shouldn't make much difference. Will increase the cost of bringing crap from China, supporting local production. I do feel sorry for the farmers. Their tractors/harvestors guzzle diesel like a flock dehydrated camels. That is where the cost of living will take a hit.