The end of $4 gasoline
The end of US$4/gallon was near when Dodge started paying all gasoline
costs in excess of $2.99/gallon
with the purchase of a new car. I know the U.S. auto makers are not
always the smartest bunch on the block, but nobody is going to make a
bet like that without either a huge hedge (ala Southwest
Airlines) or a pretty good feel that the dollar has to strengthen
and the price of oil (in dollar terms) has to go down in order for the
economy to recover.
Of course, maybe they are not actually paying the difference... maybe
they have found a way to hedge.
No matter how they went about it, somebody has figured out a way to
make money from reducing the cost of fuel. Pretty cool.
