Gas is about to hit $3/gallon in my region. I remember not too long ago when gas exploded to over $4/gallon and there was a massive massive freakout. Europe and Asia proceeds to laugh derisively. (The Chinese Guy points out that gas is over $9/gallon where he lives, and he manages.) I think the best thing we can do is to develop alternative fuels, which reduces the demand and thus lowers the price.
This is a chemical fuel that resembles gasoline, but is made of any vegetative matter modified by a particular bacterial action. You could put it in your gas tank right now.
Drinking alcohol. Works as 110 octane fuel in your tank, but most cars couldn't handle more than 15%. Flex-Fuel cars can have up to 85% ethanol, and Brazil has cars that work on 100% ethanol due to their excess sugar-cane production. Nice work, Brazil
Electric cars exist that you can buy now. People complain about their lack of range, and the fact that they're a tad difficult to recharge, and the fact that they're expensive due to novelty factor. Still, one would work even for my long daily commute.
It'll never work, there are still too many anti-nuclear kooks that insist that anything nuclear will at some point violently explode, destroying the entire city with it.
Change vegetable oil into diesel gasoline by removing the glycerine. Works in any diesel engine. The catch being: Only works in diesel engines that lack rubber parts. biodiesel has an annoying habit of leeching through rubber parts.
Any other ideas to power our cars? Cars use a lot of energy, and even advertise the fact. Cars measure their output in Horsepower, a unit of about 750 watts, that being the approximate power output of a strong draft horse. So whatever source you use, it'll need to be very portable, have a large power output, and not too expensive or strange to refuel.