The problem comes down to politicians and well meaning but foolish ecologists focusing on ideology and ignoring the unintended consequences of their actions.
Ethanol for fuel is a dud, the energy return on investment is too low to make it viable and it tied the price of food to oil. Oil exploration virtually stopped in the U.S. twenty years ago. Poor countries like China and India have become wealthier and can afford to have some of what we have.
If you want the price of oil to go down, make more and/or consume less. Go drill offshore and in ANWR and fire up oil shale. Conservation via energy saving devices and more efficient cars will have a significant impact at $125 per barrel. It takes a few years at this price and higher to kick in the production, this is a capital intensive business that requires time to develop.
Watch the invisible hand at work, except when the politicians meddle. By the time the politicians get around to doing something, it’s almost always too late and the wrong thing to do.
