Max Gladwell

Top 10 ways that high gas prices are good for America and the World…despite being bad.

Make no mistake. The recent spike in oil prices and it’s path toward $200 per barrel is not good. It compromises our economy, our security, and our quality of life. And by “our” we mean the good people of the world. Because as history has shown, high oil prices means less democracy and more bad things.

When oil prices are low, we tend to see more democracy in the world. When prices go up, we see more tyranny. It’s been speculated that one of President Regan’s weapons during the Cold War was oil. He convinced the Saudis and OPEC to increase supply such that it starved the Soviets of much-needed oil revenue. This is when it was $20 per barrel. So it’s no coincidence that communism and the USSR fell at a time when gasoline was a buck a gallon. It’s also no coincidence that Putin has rolled back Russia’s democratic progress of the ’90s.

Record oil prices means that America is sending untold billions to these very same dictators, enriching them at an unprecedented rate and scale. Meanwhile, politicians in the U.S. are calling for more drilling, as if there’s enough oil in ANWR and off the coasts of California and Florida to make a difference…in 10 years when it comes online. The same politicians want to support coal-to-liquid programs, where coal is converted into liquid fuels. This lifecycle process emits several times more greenhouse gas emissions and toxins than petroleum fuel.

The fundamental problem is that fuel prices are out of our control. If we heeded President Carter’s warning in 1979, which now seems prophetic, and implemented serious policies to reduce our dependence on oil, specifically through taxing it and pricing in oil’s many external costs to society, then Regan still could have kept the price of oil low on the world market while reducing our demand and dependence at home. We had our chance. We had nearly 30 years. Alas, we’re pretty fucked.

But there’s also a silver lining. More of a green lining, actually. In the face of this apocalyptic reality, we’ve compiled the top 10 ways that high gas prices are a good thing…despite being bad.

10. Payback for Hummer hubris: We wrote about how Hummer owners are paying the Idiot Tax with high gas prices, and that’s not entirely fair. We’re not prone to calling people names. After further consideration, it’s actually a hubris tax. Because hubris is a particular breed of arrogance that leads to one’s downfall or demise. MacBeth, General Custer, and George W. Bush all suffer from hubris. So the idiotic tendencies are pretty much implied.

9. More people riding more bikes: Even before oil crossed the triple-digit threshold, bike-sharing programs were being rolled out in Paris, London, Washington, D.C., Tucson, AZ, Portland, OR, and New York, NY, among others. But America is a nation of do-it-yourselfers. We’re more inclined to have own our bikes. In order for cycling to be a viable transportation alternative, though, most cities and workplaces need upgrades. Any road improvement project should include designated bike lanes. Bike racks with coin-operated locks and bike valets should become more available. And we need better access to workplace showers. Even if bikes could be fitted with small electric motors for the hills, it would still lead to greater health and fitness while taking cars off the road and reducing emissions.

8. The four-day work week: The State of Utah announced that it will shorten the work-week by one day to reduce energy costs and commuters’ gasoline expenses. This will result in four 10-hour days, Monday through Thursday. According to CNN, “The Department of Environmental Quality estimated employees in six buildings alone will save themselves more than $300,000 spent on gas to commute to work. ‘We feel like we can reduce the CO2 or the ozone by around over 3,000 metric tons, as well as have an impact on our air pollution,’ said Kim Hood, executive director of the Department of Administrative Services. According to Workforce Management, there’s even more upside. It is “the beginning of a revolution in the office that will result in productivity being the central value of work, rather the number of hours logged by employees.”

7. Increased use of mass transit: As we reported in A Tale of Two Efficiencies, mass transit use has skyrocketed in cities where many didn’t know there was a mass-transit system. Municipalities are being forced to invest and expand. Here in Santa Monica, the MTA recently met to discuss a number of new subway and light-rail lines–yes, a subway in LA–that would be funded by a half-cent sales tax increase.

6. The suburban-exurban exodus: The suburban lifestyle is built on cheap oil. Which is another way of saying it’s unsustainable. With the exception of cities like New York, where its ‘burbs are served by extensive rail lines, many will force people to move closer to the more efficient urban centers. “Long before the recent spike in the price of energy, environmentalists decried suburban sprawl a waste of land, energy and tax dollars,” according to the NYT. We were right again. This trend will put further downward pressure on suburban real estate values, while spurring new urban development…which is bound to be eco-efficient.

You’ll have to wait for the top 5 to be revealed in Part 2.

Related Posts

• The Gas Price Cloud Has a Green Lining, Part 2
• Idiot Tax: The Penalty of High Gas Prices
• High Gas Prices: Good or Bad? Or Both?
• A Tale of Two Efficiencies: Negawatts and Mass Transit
• Ten Predictions for the New Year (MG01)