During the summer, the media paid a great deal of attention to the spike in energy prices. Predictably, we were barraged with the standard stories of oil consumer hardship and obscene oil company profits.
Crude oil prices cratered during the past month, with gasoline prices following. If you think the same amount of attention would be paid to that, you would be wrong. But it is a very signficant development.
Gas has become much more affordable in the heartland, including critical swing states.
The green areas on the map (see the detailed map at http://www.gasbuddy.com/gb_gastemperaturemap.aspx) show gasoline below $2.50 per gallon. Even in the red and orange areas, gas prices have still declined significantly. Consider the impact of a $2.00 per gallon decrease on someone who uses 40 gallons per week - hardly an unusual amount. That's $80 per week, $4,160 per year. Consumers were gouged for this amount on the gas price upswing, and they are getting equivalent relief on the downside.
It is my firm belief that the energy spike has been a prime contributor to our recessionary environment, and aggravated the mortgage crisis by vaporizing the disposable income of marginal borrowers.
In the post-bubble environment, consumers are seeing a restoration of that income. This, coupled with their realization that they have an enormous stake in stable energy supplies, has got to be good for John McCain.
Drill here, Drill Now!
it will cost less to fleee across the border.
Replacing 401k's will be the Obama Hotel CA retirement package...
You can check out any time you like, but you can't afford to leave!