Oil prices pinch other spending

[ckramer]

Price hikes could mean Americans will spend $5 billion more a month this summer on gasoline.

The price of gasoline has begun a springtime surge that experts believe will push it to a national average of $2.50 a gallon by Memorial Day.

At that level, many Americans will find it costs about $65 - or more - to tank up the Sequoia or Suburban. In California, which usually has some of the highest prices in the nation, forget about expensive self-indulgences because gasoline could average close to $3 a gallon.

If prices were to remain at these higher levels by the summer driving season, it would mean Americans would spend $5 billion more a month than they did last summer on gasoline. Economists estimate this will reduce economic activity as Americans have less money to buy ice cream or go to the movies. In fact, consumer polls now indicate confidence in the economy is eroding as fast as gasoline prices are rising.

link

[SCDem]

1. Not with a hybrid!

Sorry just way too happy about my new Hybrid car :bounce:

[redqueen]

2. Economists estimate ... Americans have less money (for other stuff).

Do we REALLY need economists to point this out?

:banghead:

[spooked911]

3. Good point. Kind of a silly article.

[indepat]

4. Shocking how spending all you money on gasoline and to keep warm crimps

your other spending, like for food at at other retailers. Utterly shocking.

[cliss]

5. Yup. Somehow this is related to

Maslow's hierarchy of needs.

#1 Need for transportation
#2 Need to stay warm, from oil heat

#3 Everything else

[TexasLawyer]

6. Smaller crowds

Here in Houston I've been noticing smaller crowds in the restaurants lately. Usually eating out (at places other than Burger King and the like) is one of the first places families economize.

[TexasLawyer]

7. Foreclosed homes

Some of the "other spending" that gets "pinched" might not be for something as expendable as the "ice cream cones" mentioned in the article.

U.S. home foreclosures are way up.



http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x1374672

[teryang]

8. Drivers License revocations are going to go way up

The costs of driving are high enough already. I don't know what the numbers actually are but it's a good bet that the high cost of insurance which feeds upon the loop of uninsured drivers is going to get worse with increased fuel costs.

The laws concerning many not so serious crimes results in drivers license revocations. For the young person who likes to sport around in his car while doing a doobie or with an open container, it doesn't take long to be looking at five year, ten and lifetime revocations.

[nadinbrzezinski]

9. Could?

If we did not have the hybrid we would be looking at a lot less movies....

And even with the hybrid this is getting ridicolous

[Anakin Skywalker]

10. Enjoy Your Hummers and Other Phallic Substitutes,

suburbanite RWers!

[not fooled]

12. yep, greedy asswipes...

...it couldn't happen to a nicer group of idiots. :rofl: :rofl: :rofl: :rofl:

FINALLY something that will hit * lovers most!




Unfortunately, the rising gas prices will result in increased costs in all consumer goods as the cost of transporting everything goes up.

[Mugweed]

11. It stinks

I traded in my Jeep when I no longer needed a 4 wheel drive for work. I bought a Saturn that gets 35 MPG. The problem is, I spend more on gas now than I did when I had the Jeep. Yes I know that I'd be TRULY tossing money into the gas tank if I didn't mae the switch. The problem is that the Jeep was paid for...with car payments and paying more for gas, I'm one screwed pooch.

I could telecommute at least 2 to 3 days a week...if my boss wasn't an ex-Navy wierdo who thinks we should be "like a submarine crew" and says about telecommuting "Not on my watch."

Why don't we hear more about biodiesel vehicles? I want to pour my cooking oil into my fuel tank. Hybrids suck if you actually have to get on a highway. They're no better than strictly gas engines.

Hydrogen cars are a joke. It's a present to the coal industry from *co.