Update on the Automotive X-Prize

After building the 78 mpg $2500 Nano, Tata Motors has entered the race to build the first commercial vehicle to achieve 100 mpg (Popular Mechanics, h/t Instapundit).

Related: The Economist wonders which will peak first - the supply or demand for oil? Quoting from a blog: "Lost in the bullish talk of $200 oil was Goldman’s notes about demand destruction. The same report which predicted the super-spike also said that by 2012 the price of crude oil would fall to $75 normalized. Goldman expects the current euphoria to lead to a spike in crude oil prices, which will spur new supply development and also lead to permanent demand destruction."

Importantly, "I wouldn't short oil; as the saying goes, the market can stay irrational longer than you can stay solvent." Agreed. I would however bet that oil prices will be substantially below $100 USD/barrel within 10 years.