Euro Airfare

[Doug]

Hi Everyone,
We finally made flight plans to come to Santa Domenica in July. From February, when I first started looking, the airline prices have more than doubled. In fact, they went up $250 per ticket (175 pounds) in the last 5 days.

Are the British and other local airlines rising as rapidly in price, or is this punishment for electing the politicians that we do?! Are people looking toward trains and other transports? Maybe it's more of the weak US dollar.

Doug

[paulcam11]

Hi Doug,

No this is common, airlines are now adding in allsorts of hidden charges that have always been the preserve of so called budget airlines such as charging for each bag checked in. Our main problem is not the cost of the fligths but actually finding them from the North of England to the South of Italy.

WE are coming over in July and are flying into Rome and driving down as the Naples flight time has changed to only land at nearly nine at night.

Paul.

[ENGJMAX]

Hi Doug

I think that its several things, the very high Oil price world wide at the moment, here in the uk
the cost of diesel for my car is up about 25% in the last six months.
Also the dollar is very poor against the uk£ which is poor against the euro

On the positive side we have friends who have just bought a property in USA , other friends are off to Florida Disney on thursday for two weeks, and a whole host of my family from Ireland have been visiting New York to watch the guys play Irish Football.

But I`m afraid the days of cheap air fares are on hold at the moment

Best wishes and I hope you have a great trip

John

[cool]

Paul,, You could always fly to Dudlin and go Aer Lingus to Naples .The prices are higher than Ryanair but no long drive and no toll charges or petrol ,it much the same .Just an idea ,check it ouy.P.s You might get cheap flights from the u.k to Dublin. Cool

[paulcam11]

Hi Cool,

We have already looked at that option but we have a 16 month old boy with us and the longer drive is the best option that the waiting around in two different airports to be honest.

Paul.

[Doug]

Originally Posted by ENGJMAX

Hi Doug

John

Hello John,
And world oil is traded in US dollars which are so weak. Lesley laughed when I mentioned petrol was up to 2 pounds per gallon here, but it does have the country thinking twice about things. It will be a little longer to catch up with Italy and the UK prices (which the news here says has the highest fuel tax in Europe). Yea I guess this is a great time to visit the US and buy stuff. Probably not the most prudent time to buy and restore property in Italy using the USD, but since it's started, we can hardly stop!

Fatti bene,
Doug

[patmc]

Dear Doug,

The effect of higher oil prices was at first delayed here in the UK. This was because, as you say, oil is denominated in dollars and thus the higher dollar price of oil was somewhat off-set by the lower value of the dollar against the pound sterling. In other words, the dollar price of oil was high but it took fewer pounds sterling to buy dollars.

But now the dollar price of oil is so high (I still have to rub my eyes in disbelief at $135 per barrel of oil) that this amelioration effect has long since been cancelled out and those sections of the UK economy dependent on cheap fuel prices are really beginning to hurt.

Today in London, and indeed all across the world, in France, Italy, India, Malaysia, and Australia there were strikes and protests by hauliers (truckers) demanding that their governments do something about the high price of fuel which threatens to put them out of business.

This is the most serious economic crisis I have seen in my life time. If it goes on like this then we will see an end to globalisation (which was made possible only by cheap fuel and better means of transportation and which has given us a decade of cheap goods and low inflation) and a return to regionalisation with all the slow down in world trade, inflation and reduced standards of living which that intails.

PatMc

[Doug]

Good Day PatMc,
I have to agree the world economy is in a precarious spot. I listened to a little BBC yesterday about the impending strikes by haulers. It's very confusing how this mammouth world economy works, but I try to learn. The newsletter I'm attaching a link to likes to blame the Federal Reserve here for a lot of things. Their theory is that raising interest rates will also improve the value of the USD, bring down the price of oil, etc. I hope that the bright economists and business people, combined with some better national leaders, can turn this ship in the right direction. That's as far as I dare venture toward a political discussion. Have a nice evening.

With Oil Speculators Blitzing, the Fed Needs to Call an Interest-Rate Reverse Play

Doug

[Doug]

This is the most serious economic crisis I have seen in my life time. If it goes on like this then we will see an end to globalisation (which was made possible only by cheap fuel and better means of transportation and which has given us a decade of cheap goods and low inflation) and a return to regionalisation with all the slow down in world trade, inflation and reduced standards of living which that intails.

PatMc

[/quote]

Dear PatMc and others,

I'm curious what the European perspective is about the American national election. If we elect Barack Obama president, would that improve the status and credibility of the USA in your eyes? It seems to me that this, and some improved stability in the Middle East (getting out of Iraq), would perhaps ease economic tensions to a degree, but the growing demands for oil by China and others are not going away. I am a lay person with no experience in this complicated situation. As an about-to-be-pensioner expat in Italy, I'm not naive to believe we can escape all these problems by hiding in Santa Domenica Talao. In fact, Italy has some of the highest electric rates in the EU which is related to all of this "stuff".

Anyway, we are forging ahead with plans for Italy regardless of the foreign exchange et al and just hope we are right. Damn the torpedoes, full speed ahead!! If you see Di and me in a lifeboat off the Italian coast, I hope you'll throw us a line.

Best Regards,

[Italy4me]

Hi Doug,

From my personal perspective I cannot say that whoever you elect as president will have any impact on my own opinion of the status and credibility of the USA as I don't think the USA is any better or worse than any other country in the Western world. Every country, it seems to me, has historical problems to try to deal with and usually a change in party sees a lot of time and effort put in to "undoing" whatever a former government has implemented.
And usually this involves a lot of money that would be best used in other ways, IMHO.

I am not a political person and I usually think in very simplistic terms but I have watched the cost of fuel rise in the UK to such a level that I would be surprised if there was much difference now between there and Italy.

But, if we see you floating adrift in the Tirrenian sea we will definitely give you a tow to shore 8-)

Best wishes, Lesley

[Doug]

Thanks Lesley and welcome home,
That makes some sense. We keep hearing that some (not all) of the oil price problems are related to the weak USD which is the currency used to trade oil. Then we hear that the USD is very weak because the world has lessened faith in the US economy, the US actions around the world, etc etc. I would be happy if we are NOT a key cause of this fuel mess, but if we are or if others think we are, that is what I wondered. It's not a pretty picture anywhere.

The other question I have about this whole thing is who is in control?! Is it the commodity speculators in all our countries doing this? Certainly it cannot be simple supply & demand that has driven prices up so radically and quickly. I don't think we can blame the Italians....this happened too fast!

[patmc]

Dear Doug,

Let me say first that I lived and worked in the States for many years and in my opinion the US is the greatest democracy on earth, bar none.

Eight year ago America was the most respected country in the world. The Clintons slashed the federal deficit, created full employment at home, brought the Eastern European states in from the cold, secured new world -wide trade agreements which stimulated trade and cemented peace across nations, brought peace to Northern Ireland and almost secured a settlement in the Middle East. Then that great and vibrant democracy fell into the hands of criminals who pursued an illegal, immoral and disastrous war in Iraq which is now about to bring us into what may be the worst economic crisis since 1929.

So, a Democrat please, any Democrat will do. I would have preferred Clinton/Obama as I though it an unbeatable ticket. I greatly fear Obama/Edwards (as it will be) cannot win and we will have McCain.

As this is really not the Forum for a political discussion, I have PM’d you with my further thoughts, for what they are worth!

PatMc

[Doug]

Hi Folks-

I am very grateful for PatMc's praise of my country and for his thoughts. However, I must apologize to the rest of you for starting a political thread on this forum. I like the wholesome, love-Italy nature of the forum, so if you want to discuss this global situation further, let's do it via private messages as Pat has already started with me. It's healthier and more fun to keep the forum focused on good restaurants and where to buy a sofa bed!! Thanks, Doug