Americans Curtail Spending, Blame Bush as Gas Prices Surge, Survey Finds

[marmar]

from Bloomberg:



Americans, Hurt by Rising Gas Prices, Curb Spending, Poll Finds

By Rich Miller

June 26 (Bloomberg) -- Most Americans say they are feeling the pain from rising gasoline prices and many are tightening their belts in response, a Bloomberg/Los Angeles Times survey shows.

``It costs me double to fill up the tank,'' says J.L. Harder, a 75-year-old retiree and poll respondent in Peoria, Texas. ``We don't go on vacation and don't visit the relatives.''

He isn't alone. Seven in 10 of those surveyed say higher gas prices have caused them ``financial hardship.'' More than 1 in 3 respondents say they have cut back on their spending over the last six months as oil and food prices surged and unemployment rose.

That's bad news for the economy. With consumers accounting for 70 percent of gross domestic product, any pullback in their spending would have an outsized impact on the economy. In a note to clients this week, Deutsche Bank AG economists estimate that U.S. annual growth may be cut by a half to a full percentage point if consumers spend less and save more.

``Consumers are facing so many different headwinds,'' says Jonathan Basile, economist for Credit Suisse Holdings Inc. in New York. ``It going to hold back growth for a while.''

Oil Prices

Poll respondents pin most of the blame for the 35 percent surge in gas prices over the last year on President George W. Bush, according to the poll. Almost 3 in 10 singled out Bush as the one responsible, followed by the oil companies, identified by 25 percent, and speculators, by 13 percent. Only 9 percent blamed foreign oil producers and the Organization of the Petroleum Exporting Countries. ......(more)

The complete piece is at: http://www.bloomberg.com/apps/news?pid=20601070&sid=aTloxVUXKB0A&refer=home

[Mythsaje]

1. They shouldn't just blame Bush...

They should blame ALL the Republicans. We're fools if we don't point that out at every opportunity, particularly those of us with a platform from which to speak.

[Trajan]

3. Bush and Cheney are good figureheads of the oil industry ....

But your right: The whole cabal are sick, ignorant fucks ...

We seen this coming a long time ago ... This is EXACTLY what was expected to happen ...

What fucking surprise .....

[aint_no_life_nowhere]

2. "if consumers spend less and save more"

Save more? I think it's more like "if consumers try to keep from sinking further into debt". I think our economy has functioned for awhile now with many consumers barely surviving on the edge of bankruptcy, using their houses like ATMS as their credit cards get maxed out. And this is with a two-income family and multiple jobs.

[Hydra]

4. Heh

So they soaked us for every penny, and now there's no more coming out? Those POOR bankers! How EVER will they make money off of us when we have nothing left to steal?

[Warpy]

5. It's nice to see the GOP meme isn't working

I know you've all heard it, "Gas prices were low until the Democrats got into Congress!"

It seems that either people are paying closer attention than the pundits think they are or they realize the pundits are just a bunch of overpaid liars who shouldn't ever be taken seriously.

They're right to identify Stupid as the problem. It's the GOP policies that caused the ruinous tax cuts and war in Iraq and caused the dollar to fall. That forty five cent dollar is where their gas prices are coming from.

Meanwhile, they know their wages aren't going to budge, that their employers think they're doing them a favor by letting them work.

[Mythsaje]

6. Low? What--only TWICE what they were when Bush took office?

Anyone who'd buy that should be locked up for their own safety.