With gas prices sky rocketing and continuing to rise, can we incounter another Great Depression?

Despite the "amazing headway" we are making in alternative means of transportation, we absolutely could be headed for a new "great depression". in fact, there are some economists out there that think we are already in the midst of the latest and greatest depression of all time. To be defined as a "depression" rather than a "recession," more than just inflation and job loss would have to result to the economy in general. Fuel costs are just one portion of the total economy. However, fuel costs do contribute greatly to the overall costs of goods that we use on a daily basis. Fuel is required to transport and manufacture goods. These include, not only the cars we drive and the clothes we wear, but also the food that we eat. As prices escalate without corresponding wage inflation, simple things (and necessary things!) get priced out of reach of regular people. Us regular people make up the majority of the population, so this can only go on for a period of time before something has to give. I don't personally feel that we are currently in a depression, but maybe a guy with three kids, a fourth on the way, a mortgage to pay, medical bills (because his health insurance plan was priced out of his reach), and a recent injury that kept him out of work for three months, would disagree with me. I'm certainly open to the possibility that we are in the midst of a "selective depression". Just ask the people of New Orleans if they agree with me.

We're making amazing headway in electric cars and alternative fuel sources. I think we'll pull out of this OK.

Also, remember that as much as the prices hurt, they're still not half what they are in parts of Europe, and they're doing all right.

Perhaps you mean encounter. Maybe and maybe not. Whatever will happen will happen.