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32 days of higher gas prices comes at tough time

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This is from CNN Money.

CNN actually committed a random act of journalism.

Obama wants to use mass transit or drive Chevy Volts.

I live in a very rural area in Indiana mass transit is out.

I would never be able to get into a Chevy Volt.

We need the Keystone Pipe Line and several new refineries.

We also need to tell the EPA and the tree huggers to go to Hell.

 

Gas prices have been rising due to higher oil prices, production cuts and refinery issues. Click chart for state-by-state data.

Gas prices have risen for 32 days straight, according to AAA.

That means that the average price for a gallon of regular unleaded gasoline has increased more than 13% over that period to $3.73.

It’s hitting wallets right in the middle of winter, when people are already looking at large home heating bills. And it comes just after many Americans have been hit with smaller paychecks, and are worried about looming budget cuts that could deliver an even deeper blow.

What’s behind the higher prices at the pump? It’s a confluence of factors, from rising crude oil prices, to production cuts and refinery closings.

“Right now, things are tight worldwide,” said Ray Carbone, president of New York commodities trading firm Paramount Options. “Refineries going down, unanticipated maintenance, and higher demand … going into driving season.”

Two-thirds of the cost of one gallon of gas comes from the price of crude, which has jumped 10% in the last two months, according to the Energy Information Administration. As the U.S. housing market experiences a resurgence, the jobs picture brightens and consumer spending expands, anticipation of higher oil demand is driving up prices. At the same time, fears have ebbed that there would be a protracted slowdown in China’s economy, which would have dampened global demand for oil.

OPEC, the powerful cartel of petroleum exporting countries, is also believed to have cut production by about 1 million barrels a day in the last few months, partly in response to rising oil production elsewhere, notably the United States.

Adding to that, several refineries are either preparing to, or have already, shut down for maintenance before their annual switch to summer gasoline, which is formulated differently.

For the average American, all this couldn’t be happening at a worse time.

Most of the country’s 160 million workers are taking home less pay each week since thepayroll tax cuts expired last month.

$5 a gallon gas hits California

The government in 2011 had temporarily lowered the payroll tax rate for the first $113,700 of annual earnings in an effort to keep more cash in the pockets of Americans and provide a boost to the economy.

Now, workers earning the national average salary of $41,000 are receiving about $60 less on every monthly paycheck.

Related: CNNMoney map: Check gas prices in your state

Many Americans are also worried that the federal aid programs they rely on are on thechopping block. Next month, lawmakers will face off against the so-called “sequester,”which will slash $85 billion from federal agencies over seven months.

By some estimates, up to 1 million jobs will be lost even as millions of federal workers will be furloughed and a bevy of programs and services across the government will be curtailed.

In such a scenario of widespread furloughs and job cuts, gas price will likely have a deeper impact if they continue to rise. To top of page

 

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Gasoline Prices More than Double Under Obama: $1.84 to $3.85

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This is from CNSNews.

Is this what Obama meant with his Hope and Change slogan?

I think the slogan was there is No Hope for Having any Change left.

Raising fuel prices hit all of us on fixed incomes hard.

Higher fuel prices affect our daughters education.

We home school and higher fuel prices decrease our field trips.

Higher fuel prices increase food prices,and anything delivered by vehicles.

 

CNSNews.com) – Average retail gasoline prices have more than doubled under President Obama, according to government statistics, rising from $1.84 per gallon to $3.85 per gallon.

The average gasoline price is calculated by the Energy Information Agency, and shows that over the past 43 months of President Obama’s term retail gasoline prices have more than doubled, rising from an average of $1.84 per gallon to $3.85 per gallon.

Rising gasoline prices were particularly prevalent in August, which saw a 9.0 percent rise in the Consumer Price Index (CPI) for gasoline, a rise that almost entirely accounts for the general increase in prices seen by families across the country over the past month.

In other words, the recent spike in prices for all goods – tracked by the government’s Consumer Price Index – can be almost entirely accounted for by the rise in gasoline prices. Prices in the economy rose by 0.6 percent overall in August.

“The seasonally adjusted increase in the all items index was the largest since June 2009. About 80 percent of the increase was accounted for by the gasoline index, which rose 9.0 percent and was the major factor in the energy index rising sharply in August after declining in each of the four previous months,” the Bureau of Labor Statistics said in a press release announcing the new CPI figures for August.

Over the past twelve months, general prices have risen 1.7 percent, BLS reported.

CPI is a measure of the average change in prices for goods and services in the economy seen by consumers – making it the leading indicator of the inflation experienced directly by consumers throughout the country.

 

 

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