I think prices will continue to go up. Alternative energy sources for cars will take time, until then most people have no convenient alternative, and the oil companies know that. You have to remember that a large % of Americans live in rural areas or areas where public transportation is either nonexistent or extremely inconvenient. I’m lucky enough to live close enough to ride a road bike to work year round and the wife drives a Saturn only about 5 miles to work.

The pollution in China IS TERRIBLE, I’ve had to go there many times (Guangzhou, it’s near Hong Kong). You go outside for just a few hours, come back and take a shower, blow your nose and the tissue is all black.