(click here if matrix is not observable)March 2, 2011 11:45 PM
We want to re-post our gas price sensitivity matrix, which illustrates how various prices will impact individual consumers given their average miles driven per day. We had to make an assumption on the automobile’s gas mileage so we took the national average calculated by the Department of Transportation, which is 17.4 mpg. We also used an average price of $2.50 per gallon for 2010.
If gas prices were to average $3.75 per gallon in 2011, for example, a person who drives on average 60 miles per day (21, 6oo annual) will spend and additional $1,551.72 on gasoline during the year. This is more than the GDP per capita of 30% of the countries monitored by the IMF and 130 percent of India’s 2010 GDP per capita. Needless to say, that is some pretty big cheese, especially if there are two commuters in a family. (click matrix for better resolution and clarity)
(click here if matrix is not observable)
Posted by macromon
Categories: Crude Oil, Economics, Electric Vehicles
Tags: Consumers, Gas Prices, Tax of Higher Gas Prices
Mobile Site | Full Site
Get a free blog at WordPress.com Theme: WordPress Mobile Edition by Alex King.
In future, people will have to work and shop nearby where they live or they have to rely more on public transportation of things don’t change
By sextisfaction on March 3, 2011 at 12:49 AM
curious if the DOE is all vehicles (e.g, freight trucks included). I did a similar study (http://www.zerohedge.com/article/impact-surging-oil-prices-us-consumer-primer) and found averages from 17 to 23 (so I went with an average of 20). Either way, you’re right – it’s big.
By John L on March 3, 2011 at 10:02 AM
Your assumption may be closer to reality, John. I think the Cash for Clunkers program upgraded the national fleet a bit.
By macromon on March 3, 2011 at 12:12 PM
That graphic is impressive, John. Good stuff! You should have a website.
By macromon on March 3, 2011 at 12:20 PM
Thanks. I enjoy it, but only part-time – keep up the good work.
By John L on March 3, 2011 at 12:44 PM
[…] price of gas falls, which acts as a tax cut for the consumer — the good kind of stimulus! See here for our gas price sensitivity matrix on consumer budgets. A person who drives 70 miles per […]
By Trannie Swan Dive to Take Down Crude Oil « Tax Australia on August 2, 2011 at 4:37 PM
[…] price of gas falls, which acts as a tax cut for the consumer — the good kind of stimulus! See here for our gas price sensitivity matrix on consumer budgets. A person who drives 70 miles per […]
By Trannie Swan Dive to Take Down Crude Oil | The Big Picture on August 3, 2011 at 3:46 AM
[…] is a stunning stat and shows how out of touch Washington and Wall Street are with Main Street. Imagine if gas prices spike $2.00 per gallon. CNN writes,A majority, or 64%, of Americans don’t have enough cash on hand to handle a […]
By 64% of Americans Can’t Handle a $1,000 Emergency Expense « Tax Australia on August 12, 2011 at 1:12 AM
This chart is fascinating. Have you looked into how the higher price of gas affects consumer spending? Do people drive less when gas costs more? I know other countries tax the heck out of gasoline; is there a consistent…what do you call it in statistics…a corollary (?) that people always drive less where gas costs more.
By Joan Linney on November 8, 2011 at 10:25 PM
I’m open to advice on where to look for answers.
By Joan Linney on November 8, 2011 at 10:27 PM
[…] is a stunning stat and shows how out of touch Washington and Wall Street are with Main Street. Imagine if gas prices spike $2.00 per gallon. CNN […]
By 64% of Americans Can’t Handle a $1,000 Emergency Expense | The Garden of Princess Aileen 心灵的驿站 on January 30, 2012 at 6:00 PM