One of the big problems I see with all the proposals to deal with our present situation is how to make the switch to lower consumption of oil and other carbon based fuels. For example, just mandating that the automobile companies build more fuel efficient cars won't actually induce people to go out and buy them in large numbers. In order to promote such a massive shift in consumer purchase preferences, large increases in the price of fuel at the pump would be required. The same might also apply to other transport modes, such as air travel.

I think that the only reasonable alternative is an comprehensive program to ration transport fuels. A major component of this would be the ability to trade allocations thru a white market. This approach would leave the basic cost of fuel at the market price, what ever that might be. With the idea that future fuel availability would be less and less each year, this direct impact on the consumer would foster a large increase in fuel efficient vehicles, with many fewer gas guzzlers purchased. Those who still wanted or needed the large vehicles for what ever purpose could still purchase them, but would pay extra for the fuel to drive them.

A rationing system would not add to the already crushing problems due to the financial meltdown, since the price of fuel to most people would likely remain at a minimum. The inflationary impact resulting from the imposition of large taxes, such as are applied in Europe but which have not been seen in the U.S., would suppressed. The public would be able to see a clearly defined future to work towards, something which did not result from last summer's large upward spike in oil prices and subsequent crash back below the price seen at the beginning of the year.

Of course, it would not be easy to implement rationing and the average American would likely find the concept abhorrent. Sad to say, such bitter medicine may be the only way out of our dilemma...

E. Swanson