The average price of regular gas in the US has officially passed $4 a gallon. Here in DC, I haven't paid that yet, but may the next time I have to fill up.
Gallop polled people about the cost of gas last month, and a majority said they thought gas would hit $6 a gallon within the next 5 years, but only 19 percent thought it would hit $10 a gallon within that time period. My personal guess is that it's likely to hit $6 or $7 in the next year or so, as part of a speculative bubble, but then fall back to the $3-$4 range. But that's just a guess. I'm pretty confident that gas-powered cars will still be around when my boys hit driving age, unlike the author of an essay I read recently.
My car needed some not-insignificant repairs to pass its inspection this month, so I spent some time crunching the numbers to see if it made sense to replace it with a hybrid. The answer is no, at least not for economic reasons -- I drive less than 8,000 miles a year, and even if I doubled the fuel economy, I just wouldn't save that much money. At the very minimum, it makes sense to hold out a couple of years so I can get a next-generation hybrid, which are supposed to have much higher fuel economy.
(I also read an article that suggested that a plug-in hybrid could be used as a backup power source. Given the unreliability of power in our neighborhood, that would be a killer app for me.)