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Guest Post: Why Is Gasoline Consumption Tanking?
Zero Hedge ^ | 02/10/2012 | Tyler Durden

Posted on 04/03/2012 7:50:20 AM PDT by Mechanicos

Retail gasoline deliveries, already well below 1980 levels, have absolutely fallen off a cliff.

....

Deliveries in November 2011 were 30.9 MGD, a staggering 47% decline.

.....

What other plausible explanation is there for the decline from 42.4 MGD in July 2011 to 30.9 MGD in November 2011 other than a dramatic decline in discretionary driving? That 27% drop in a few months in unprecedented, except in times of war or sharp economic contraction, i.e. recession.

(Excerpt) Read more at zerohedge.com ...


TOPICS: Extended News; Front Page News; Government; News/Current Events
KEYWORDS: depression; economy; gasoline; government
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To: matthew fuller

6.1% increase since Barry Hussein took over in 2009. (Thanks for link)


41 posted on 04/03/2012 8:40:54 AM PDT by Mad Dawgg (If you're going to deny my 1st Amendment rights then I must proceed to the 2nd one...)
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To: Mechanicos

Wait until the March figures are calculated.

Out here in Californicator land, gas prices for regular are well over $4/gallon and up to or over $5/gallon.

In less than a year, filling up our gas tanks has gone from a little owie to big time hurt.

When people got their credit card bills for Dec/Jan and Feb, they started to cut down on their discretional/recreational driving.

We still see a lot of commute traffic during commute times, but traffic during the rest of the day is down with the exception of the times for dropping kids off at school or picking them up.

One of our younger Cali relatives’s wife has a good size suv, and she was a big time driver. Her gas bills were going over $400 per month. He took his credit card away from her and told her she had to fill her SUV on her credit card. She took the kids to school twice a week for a 3 mile round trip each day. Other Moms pick up or take the kids for the other days. Their grocery store is another 3 mile round trip. They get about 18 mpg with their suv. He started giving her what a gallon of gas cost for her cost to get to and from the school and a weekly trip to the store.

After she got her first on her own credit card bill for her driving, her gas costs are now down to about 50-60 $’s month.


42 posted on 04/03/2012 8:43:22 AM PDT by Grampa Dave (ILLEGAL IMMIGRATION IS DESTROYING AMERICA-LOOK AT WHAT IT DID TO THE WHITE HOUSE!)
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To: GBA
This morning UPS dropped off a nuclear/coal powered electric lawn mower

I laughed out loud at this.

In 1997, I bought a Ryobi electric mower to do about one half acre of grass a week. Cost about $ 300.00. The mower lasted three years. First year, worked like a charm. The last year I had to recharge it four times to do the grass. Went back to a Sears gas mower for the next seven years. Sold the house amd moved into a community where my grass cutting was in the the monthly dues.Going into my 7th season of no grass cutting. I hope the batteries are better these days.

43 posted on 04/03/2012 8:44:52 AM PDT by exit82 (Democrats are the enemies of freedom. Be Andrew Breitbart.)
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To: Bud Krieger

You will love the Elantra. It is a great care for the money, and very economical.

My daughter got a 2012 Elantra and we have a 2011 Sonata. We have had our Sonata one year and still love it. The styling is great,they are comfortable, sporty and responsive. Also highly rated by Consumers Reports.

Before then I had Chrysler minivans for 25 years.


44 posted on 04/03/2012 8:47:42 AM PDT by exit82 (Democrats are the enemies of freedom. Be Andrew Breitbart.)
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To: Buckeye McFrog
The general public will look at this vs. the skyrocketing cost of gas, and come to the conclusion that the Law of Supply and Demand is not working anymore.

I got news for you. With regards to oil and gasoline, supply and user demand fundamentals don't apply. In fact they haven't applied for at least the last 6 years. They have been trumped by big house investors who set price by the demand for paper title of of oil and products. Consumers are now irrevelent; if real demand for gasoline drops either refineries are closed or products exported. The consumer cannot win no matter what he does. He pays more if he uses more and he pays more if he uses less.

Mike

45 posted on 04/03/2012 8:53:25 AM PDT by MichaelP (The ultimate result of shielding men from the effects of folly is to fill the world with fools ~HS)
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To: redgolum

Oil is political....International Leaders use it and abuse it as political leverage...as well as it’s distribution.


46 posted on 04/03/2012 8:53:35 AM PDT by caww
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To: exit82

“We have had our Sonata one year and still love it.”

Just bought my college age daughter a new 2012 Sonata. She love it. She drove the toyota Camry and Honda Accord and much preferred the Sonata over them. Got the 2.5. She was driving a 2004 VW Beetle prior to the Sonata. While the VW was a drove and rode ok it was expensive to maintain. I just got tired of dropping so much money keeping it up. So, no more VW products for me, ever.


47 posted on 04/03/2012 8:59:04 AM PDT by snoringbear (Government is the Pimp,)
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To: exit82

We drove several vehicles and were ready to buy a Ford Focus , until we drove the Elantra. The Elantra is down on power to the Focus but the Elantra has way more leg room and feels much larger. I preferred the Focus styling but my wife wanted the Elantra, so that was that....

The Elantra was a few thousand dollars cheaper as well.


48 posted on 04/03/2012 9:05:45 AM PDT by Bud Krieger (Another President , another idiot......)
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To: exit82

My better half drives an ‘85 toyota pick up she bought 20 years ago.

Full size bed in the back and gets 31 MPG.

Registration in Maine is based on original sticker price. Her tags are down to 25.oo per year.


49 posted on 04/03/2012 9:07:22 AM PDT by maine yankee (I got my Governor at 'Marden's')
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To: goodnesswins

That has never stopped my wife! 8-)


50 posted on 04/03/2012 9:10:02 AM PDT by edcoil (It is not over until I win.)
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To: Mechanicos

Bookmark


51 posted on 04/03/2012 9:10:02 AM PDT by dragnet2 (Diversion and evasion are tools of deceit)
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To: lula; Thane_Banquo

Yes, but if consumption is down, then supply should be up. And if supply is up, then price should be dropping.

Hmmmmm.....

O’Reilly says the supply is constricted because refined gasoline is being shipped to China.

So, we hypothesize that the world demand and or supply is down while a US localized supply went up due to less consumption.


52 posted on 04/03/2012 9:13:24 AM PDT by xzins (Retired Army Chaplain and Proud of It! Pray Continued Victory for our Troops Still in Afghan!)
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To: Mechanicos

Yet the cost still goes up........


53 posted on 04/03/2012 9:13:30 AM PDT by Eagle of Liberty (We the People are coming!!)
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To: dirtboy

What, they built oil fired power plants or is the country running on generators, lol?

“Necessity” commodities are in a speculative bubble again just as in 2008. So is corn.

Short the living crap out of the greedy b-tards.


54 posted on 04/03/2012 9:13:37 AM PDT by RegulatorCountry
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To: Mechanicos
Why Is Gasoline Consumption Tanking?

Boy this is complex....

Lets see, the price of everything has doubled, food, fuel, etc, millions of private sector Americans are jobless, hours cuts, benefits eliminated, millions lost their homes, lost businesses, retirements/savings decimated...

And ya can't figure out why people are driving less?

lol..

55 posted on 04/03/2012 9:13:44 AM PDT by dragnet2 (Diversion and evasion are tools of deceit)
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To: RegulatorCountry
What, they built oil fired power plants or is the country running on generators, lol?

I would imagine they are running their peak generators around the clock instead of just at peak consumption.

I agree there is a speculative bubble again. But there also is an oil demand factor here to offset much of the drop in US gasoline consumption.

56 posted on 04/03/2012 9:16:32 AM PDT by dirtboy
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To: Thane_Banquo

It’s amazing how little people understand this. Especially in the MSM.


57 posted on 04/03/2012 9:30:37 AM PDT by WKUHilltopper (And yet...we continue to tolerate this crap...)
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To: dirtboy

It’s a world-wide fungible market, and world demand for oil is soaring, due to China (now the leading manufacturer of autos), India, Brazil and other developing nations. Supply-and-Demand analysis needs to include within its scope the entire global market.


58 posted on 04/03/2012 9:37:49 AM PDT by cookcounty (Newt 2012: ---> Because he got it DONE.)
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To: Mechanicos

“...decline in discretionary driving”

It ain’t rocket science. The higher cost of gas amounts to a pay cut for people who are employed.

It is for me. Anyway, even IF I still drove as far and as often as before ... I wouldn’t have any money to spend once I got there!!! :)

So we stay put, hang on to our money and wait for the other shoe to drop!


59 posted on 04/03/2012 9:40:16 AM PDT by SMARTY ("The man who has no inner-life is a slave to his surroundings. "Henri Frederic Amiel)
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To: running_dog_lackey
People use a lot less gas when they don’t have to drive to work anymore.

And they don't have to use gas job-hunting. That's all done on the internet.

60 posted on 04/03/2012 9:42:03 AM PDT by Drew68
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