Skip to comments.Gas prices take bigger bite of Americans' income [Highest in THREE DECADES!]
Posted on 02/05/2013 6:27:18 AM PST by SoFloFreeper
Americans are pumping about 4% of their incomes into buying gasoline, according to a government report.
The Energy Department said on Monday that U.S. households spent an average of $2,912 on gasoline last year, the highest level in four years.
The percentage reached similar levels in 2008, when a red-hot global economy and panic over dwindling supplies sent gas prices through the roof. But before then, the percentage hadn't reached these levels in nearly three decades.
(Excerpt) Read more at money.cnn.com ...
During 2008, oil was front and center....and the media constantly found poor moms and dads who couldn't afford milk for their kids...and George Bush and the Republicans were to blame.
Under the assclown, things are WORSE. And the media is silent.
High gas prices are nothing more than a racist plot to tarnish our esteemed President. </s>
I am amazed its being reported! Not only is gas and he heating oil more, but our entire economy is built on oil! Cost of food? Oil. Cost of textiles? Oil. These green idiots ate quite literally killing America.
elections have consequences.
I expect $5 a gallon by Memorial Day and it will cost a lot more for that hamburger given that it will cost exponential more to transport the raw material, operate the equipment and move the final product.
Does anyone in the media go food shopping or have to meet a personal budget?
Big US Oil makes 10 cents a gallon on Gasoline.
Big US Government makes 40 cents a gallon on gasoline.
Big US Oil supplies the USA with the cheapest gasoline in the World.
Big US Government does not supply any gasoline to the USA, or the World.
Guess which one of these two ‘Bigs’ is the more popular with The Court of Public Opinion?
BTW, ever since Zipper-Boy Clinton first term it has been against Federal Law to post taxes paid on Gasoline Pumps. How’s that for a politician’s CYA Law?
“BTW, ever since Zipper-Boy Clinton first term it has been against Federal Law to post taxes paid on Gasoline Pumps.”
Really? I still see them on occassion.
Sure gas is high, but have you been to the grocery store lately?
A piece of round tough steak run through a tenderiser goes for $6.99 a lb. and don’t even dare look at a T-bone you will get a heart attack.Ground beef $3.99 a lb.
Even a can of Spam will set your heart to fluttering.
$3.79 a gallon for heating fuel, a fill up was $713.00 dollars last month. Kerosene for my heater in the garage was $4.19.
Between gas, fuel oil and food my check is gone.
Luckily in better days I paid for my house so no house payment, but the money I now pay in property taxes is more than the original payment for the house was.
Obama and his federal taxes are bad, but what the feds fail to see is that when they raise taxes, the State does the same thing, then the county does the same thing , then they raise sales taxes too.
I am a lucky man, I have my health when all around me many of my friends are having knees relaced, stents put in, heart by passes, I have none of these things and am still in good shape except for arthritis, but I fear when Obamacare comes in and they cut me off with rationing if I need them will be able to get them?
U.S. household expenditures for gasoline account for nearly 4% of pretax income
FEBRUARY 4, 2013
Gasoline expenditures in 2012 for the average U.S. household reached $2,912, or just under 4% of income before taxes, according to EIA estimates. This was the highest estimated percentage of household income spent on gasoline in nearly three decades, with the exception of 2008, when the average household spent a similar amount. Although overall gasoline consumption has decreased in recent years, a rise in average gasoline prices has led to higher overall household gasoline expenditures. However, these expenditures as a percentage of overall household income are still low when compared to the early 1980s, when the estimated portion of household income spent on gasoline surpassed 5%. Although travel per household has increased significantly since the early 1980s, vehicle efficiency has also risen significantly, reducing the amount of gasoline used per mile.
Efficiency gains have accelerated in recent years, such that total U.S. gasoline consumption fell in 2011 to 134.2 billion gallons, its lowest level since 2001. However, at the same time, EIA's average city retail gasoline price rose 26.1% in 2011, and another 3.3% in 2012, when it reached $3.70 per gallon. The effect of the higher prices in 2011 and 2012 outweighed the effect of reduced consumption. As a result, expenditures increased to a record annual average of $2,655 per household in 2011, rising to an estimated $2,912 in 2012. The 26.1% yearly increase in 2011 was six times greater than the 3.4% rise in nominal household income. Additionally, the 3.3% estimated gasoline price rise in 2012 outpaced the 2.9% estimated increase in income.
In addition to that law, Zipper-Boy Clinton also added a “temporary” 5 Cents a gallon tax to the sale of Gasoline.
Since the US Federal Government goes broke every year, there is NO such thing as a “Trust Fund” for Highways.
The best way to lower the cost of goods and services in the USA is to stop collecting Government taxes on fuel for Jets, ships, trains, trucks, and cars.
Americans are too stupid and distracted to believe what they see. If the Obama media tells them things are good, then things are good. Simple as that.
The real story is that the cost of oil is up because the cost of production is up. Some of this is due to exploratory costs, but much is due to the decline in the value of the USD. If you track oil to gold, it is not out of the realm for oil to increase to $120 per barrel.
Yep, that's what scares me about Obamacare.
Health Care is expensive, but I can always earn, beg, borrow, or steal more money. I can't take a Community College class in Do-it-Yourself Heart Bypass Surgery.
I have a spreadsheet that tracks my purchases. I don’t track gasoline as I live fairly close to work. I also don’t track restaurant foods as eating out is a rare.
2013=$537 and counting
You are very wise tro be concerned my FRiend. I’m 52 and in panic mode as to what MY life will be like down the road. Statistically, I’ll be alone, so I’m planning and planning hard for that.
I do not trust my government to make ANY right and good ‘choice’ for me concerning any aspect of my life.
i’m scrambling to have my farm paid off ASAP. (No
CC debt, paid off my 2008 truck.) Ratcheting down the budget to the point where I have little wiggle room anymore.
Food is amazingly expensive; I shop for myself and my Dad and it’s getting ridiculous!
My property taxes have been stable while my property value has risen, so that’s ONE bright spot in this dark cave!
WOW! I love tracking that kind of stuff, too.
Let me guess - you’re buying basically the same foodstuffs with the added bonus of them being in smaller packaging/portions, too?
Am I right? Yep. I knew that I was! ;)
Are you truly purchasing the same exact basket of goods, or has T-Bone now become ground chuck ala the CPI-U/W method of hiding inflation? Also, are you getting the same amount of product for a higher price, or are you getting less for the privilege of paying more like the rest of us?
We’re also raising a steer this season. ‘Dinner’ will be ready for the plate next fall. :)
He should be about $2.99/lb. when all is said and done, counting butchering and all the feed/water he’s consumed. (Mostly grass-fed, but we had a drought last summer that may not be easing!)
High end will be $3.99/lb. if things keep going UP...
I will NEVER tire of those. Keep ‘em coming! :)
I used to go in with a friend and we each bought a half.
It ran around $2.99 when it was all buthcered and wrapped.
It kept us in meat for about 10 months.
We cut back on meat and didn’t feel we needed that much any more, Might go back to it though.
Was planning on buying a truck. Came to the conclusion that gas prices will never come down to a point where I could own a truck.
Bought 2 hyundais instead and the gas bill is still lower.
I am 70 and rapidly approaching the 76 yar old limit that Obamacare places on treating Cancer patients, who knows what limit they will put on hip, knee , and heart surgery for older Americans.
I used to think 70 was old, but when you get there it really isn’t.
I am buying the same foodstuffs. Every thing has gone up. There is a slow creep in the prices. The average cart load is over $200 per customer, I asked the cashiers.
My grandfather had heart bypass surgery in his mid 70s. He thought a long time about it..."Why take the chance?" was his thinking, approximately.
"Why not?", was my gandmother's, and fortunately, she prevailed.
He lived to be 87, and was very active up until the last few months. Turned out to be one of the smarter moves he made.
I keep hoping that cooler heads will prevail on Obamacare. Unbelievable, to me at least, that so few people can see the problems with something so horrifically flawed.
George Soros pulled the trigger on gas prices and sent the nation into a mortgage tailspin. People will buy gas to get to work before they make a house payment. It’s that simple.
Looks more like a First Amendment issue to me.
I have a farm. I need a truck. Ford Escape SUV 20+ MPG. My work commute is only 10 minutes and I’m 2 minutes from town. Works for me. :)
High gas prices are just a piece of a devalued dollar that is a much bigger problem.
You could say the same about the president.
Why are so many fooled by this guy?
I remember standing in line to buy milk at the corner gas station and one of the gas customers was complaining, “that damn bush and his oil buddies made gas this expensive! I can’t afford it”
“grumble, grumble, evil bush, grumble, damn big corporations”
Then finally, “Oh yeah, give me $20 in scratch offs!”
I actually pointed at him and laughed, and laughed, and laughed, and eventually the rest in line started laughing too. He finally realized what was happening and he turned around and said “what?” So, I pointed out to him that the $20 he just threw away would have covered the higher cost of gas he was complaining about.
All I got was a look of confusion as a response.
You should check out the Chapwood Index. It is a different inflation index that DOES take into account food, fuel and other basic necessities costs.
My son bought a 2002 escape. Loves it.
I bought a Ford because they didn’t take any $$$ from ‘0bama’s Stash.’ :)
Don’t worry. The government and its government-connected proxies will tighten-up to push oil down sometime between April and June. After a few million more people are laid off, gas will be low enough to start the engines of tourism for recipients of government incomes: the great and conservative taxpayers of today. [Little irony and sarcasm there.]
We need spending cuts and a restart. Stop at least about half of all federal spending—funding to state and local governments first—and rebuild an economy with real production (without the regulations).
BTW, a reminder here that the numbers of people driving and working in factories around the world is increasing quickly. That’s where more of the oil supply is going every year. Here, in the USA, the last time I looked, we were down about 5% in total oil consumption from a decade before.
Have fun. Enjoy the globalist slide. Things will get far more interesting here in the near future.
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That was their plan from the beginning.
Bought 1/4 of a Steer w/ friends. Farmers are culling their herds, the drought has made it to expensive to feed them. I suspect beef will be through the moon between transportation and the lack of hay issue about the same time you mention....
‘During the entire year of 2012, the Obama buttlickers in the media (and their numbers are LEGION) NEVER FOCUSED ON GAS PRICES. ‘
I thought you knew that a strong economy will result in gas prices going up?
All those people carrying their possessions in the street are just moving to their new mansions that they were able to buy with all of the money that Obama care has provided them.
Come on, get with the program comrade.
Because they never look past the moment after next, and right now, dear leader’s bribing them enough to make them content day by day.
I , personally do not like the high gas prices. The hit me very hard. But since November 6, 2012 that is water under the bridge. Choices were made, votes were cast. I came out on the short end. Let them enjoy their high gas prices. Let them enjoy their high food prices.
More Half Truths from a so-called economics publication. Listen very carefully, The Prices of Commodities HAVE NOT GONE UP AT ALL, NOT ONE CENT!!
The government using the Federal Reserve Cabal of Banksters HAVE STOLEN THE VALUE OF YOUR PROPERTY (MONEY) thru DIRECT COUNTERFEITING. They call it Bailouts, Quantitative easing, Inflation, investments, stimulus..... It all means one thing and only one thing PRINT MORE MONEY AND DILUTE THE VALUE OF ALL EXISTING MONEY.
For those of that you that can COUNT, no explanation is necessary
For those of that cannot COUNT, no explanation is Possible.