Everyone from Ford to GM to Toyota is betting on plug-in hybrids, with models like the Ford Escape, Chevrolet Volt and Toyota Prius promising to offer the technology in the next couple of years. The promise of all-electric operation, and the equivalent of 100 mpg, is hard to ignore. Yet there are many hurdles to overcome, like lithium-ion battery technology, heat management and warranty concerns. But an even bigger quesiton remains: How will utility companies react to this new drain on the power grid?

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In case you haven't noticed, the price of gas is a bit higher than it used to be. Actually, its ranging from 50 to 80 cents more per gallon than it was this time last year, and over the past weekend I almost couldn't cover my fuel charge with a $20 bill -- for my motorcycle! That was a bit of a wake up call.

I remember a conversation between my parents where my dad was talking about all the people who said they'd use roller skates before paying a given price for a gallon of gas. Of course, this conversation took place in 1984, and the price people were agonizing over was $1.25-a-gallon. Now we're at $4-a-gallon, and I still haven't seen any rollerskates.

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You may have already heard this, but there's a growing relationship between Chrysler and Nissan. For complete details, check out Michelle Krebs' excellent analysis on AutoObserver.com.

Like many automakers, Nissan and Chrysler are two companies with clearly-defined strengths and weaknesses. What wasn't so obvious to me, until hearing about the budding partnership and reading Michelle's article, is how perfectly these two entities line up and how much stronger they could be as a single unit. Recent history suggests that mergers on this scale are never as simple as they appear at first glance, and the last thing either automaker needs is another failed coupling.

But bottom line -- Cerberus Capital Management is a "show me the money" group of guys, and Carlos Ghosn has wanted a U.S. paring for awhile. It doesn't take a crystal ball to see where this might go, though for now both companies are merely talking about model-sharing plans. How far will these plans go? Let take a look at the obvious ones (all stolen from Michelle's article):

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Alright guys, I've got a new series I want to start with today's Talk Back Tuesday.

It's the first installment of Cars that Jumped the Shark, in which we discuss when a particular model topped out before beginning that inexorable slide into pathetic-ness. In some cases you may feel a car never jumped the shark and it is still getting better, which is fine. In other cases, you may feel a car never even got up on two skiis, but was fish food from day one, and that's okay too.

To start things off I'm going to ask about the BMW M3. With an all-new version now in showrooms, and a previous-generation M3 in our long-term fleet, it seems fitting to ask the question: When did the BMW M3 jumped the shark?

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Last Friday's blog entry discussed the crash-and-burn status of large truck and SUV sales. Basically, if it's big and it's truck-based, it ain't sellin' (with rare exception). At the same time, Ford's archaic Ranger is up for the year, and anecdotel evidence suggests new and used Rangers, along with older Toyota and Nissan compact trucks, are quite popular with truck buyers in 2008.

This is basically a repeat of what happned with American cars in the 1970s. For decades they'd grown larger and larger, then a fuel crisis hit and everyone (car buyers and car makers) stopped, took a critical look at the size of their vehicles, and basically said, "What the #@&* are we doing?! Nobody actually needs vehicles this big, we're just caught up in a 'Size Arms Race' with the rest of the industry. Now our vehicles are just stupid-big -- and they guzzle a lot of gas!"

This epiphany had every carmaker immediately downsizing their offerings as a result, and while cars have grown in recent years we've still never approached the behemoths being sold in 1974.

Diesel powertrains make up over 50 percent of new-car sales in Europe. On a cost-benefit ratio, diesels are more efficient and environmentally responsible (especially when you take total vehicle production and lifecycle into account) than hybrids. Modern fuel-system and exhaust-system technologies have removed much of the noise, smell, soot and pollution associated with diesel engines while giving them near gasoline-like responsiveness and performance (just ask Audi).

Basically, diesels have nearly every advantage over hybrid drivetrains, and score pretty well against traditional gasoline engines, too. I've spent the last week in our long-term Volkswagen Jetta TDI, and today I'm driving a 2008 Jeep Grand Cherokee CRD (look for my specific post on that vehicle tomorrow). Both vehicles continue to validate the effectiveness of modern diesels at reducing fuel consumption and exhuast emissions while cutting our dependence on imported oil.

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I don't have one topic worthy of a full Talk Back Tuesday post, but I do have a few mini topics from the past week that, when added up, almost equate to one worthy discussion...hopefully. Here goes:

In the spirit of "perfect timing" comes a new Hummer H2 book: Yes, just as oil passes $100-a-barrel and gas hits $4-a-gallon we get a new book that, according to the press release:

"With unfolded centerfold the book reaches a width of 237 cm (94.5 inches), wider than the subject of the book, the HUMMER H2, itself. HUMMER H2 - KING SIZE AMERICA! is the biggest and most exclusive car book in the world and is published in a limited edition of just 999 sequentially numbered and signed copies. On 200 gloss-laminated pages German automobile journalist Hans-Jürgen Tücherer tells a great many entertaining and amusing stories that surround this spectacular American SUV. More than 270 fascinating pictures up to 43 x 237 centimeters (17 x 94.5 inches) in size depict the HUMMER H2 in all its glorious details and from many highly unusual perspectives. HUMMER H2 - KING SIZE AMERICA! is available for 999 Euros. The German edition is on sale now. The English version will be available online at www.h2book.com starting in April 2008."

Yes, for a mere $1,500 you too can pay proper homage to your H2 with a book as obnoxious as the vehicle itself! Better reserve your copy today!!

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Last Friday's blog about the GMC Acadia versus Yukon Denali raised some interesting discussion points. The two dominant arguments were either:

1. The Yukon Denali is overpriced and unnecessary when the same division offers the Acadia; or

2. The Yukon Denali has more capability than the Acadia in areas like towing and hauling, and is thus worth the money

As is often the case, both of these arguments are correct, depending on your needs as a buyer. But this brings up the next big question: How much car (or truck, or SUV, etc.) do you really need? The emphasis on "really" comes from a phenomenon I think we're all aware of -- perceived versus actual vehicle needs. As such, I present the following two-step process to consider when buying your next vehicle:

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I touched on this subject about 10 months ago, but it deserves another visit in the wake of recent activity. First is the ratification of a new energy bill that will raise CAFE standards dramatically (though not as much as you my think...). Now comes a story about insurance companies waging a war on horsepower.

As I noted in early April of 2007, the storm clouds are gathering and it appears a long, bitter "anti-performance" winter is about to begin. As you might expect, a period of "performance-car hibernation" is sure to follow, setting the stage for current supercars like the Corvette ZR1 and Nissan GT-R to play the role of 21st Century Hemi 'Cudas and Super Duty Trans Ams.

I fear the answer for too many people is "No!" After all, learning about global warming (as opposed to simply forming an opinion based on mainstream media sound bites) can take all of...well, it took me about 10 minutes to take this Global Warming Quiz, which not only tested my knowledge but greatly expanded it as well. I got one of the questions wrong (number 9), and I'd like to hear how other people score on this.

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