Gasoline pump. (Credit: Miguel Gutierrez/Getty Images)
CHICAGO (CBS) — Oil analysts are reporting families are now spending 8.4 percent of available median income to fill up their gas tanks.
As WBBM Newsradio’s John Cody reports, the high fuel prices are leading to some adjustments.
LISTEN: WBBM Newsradio’s John Cody reports
University of Illinois finance professor Don Fullerton says if amount spent on gas is up, something else had to go down in family budgets.
“The money has to come from somewhere else, and they cut out some other restaurant meals, or entertainment, or movies, or something, or it reduces their savings,” Fullerton said.
The Oil Price Information Service is reporting the typical American household is spending $4,100 on gas this year.
The figure represents the highest hit on family income since 1981.
3 Comments
8.4% for gas,
+ cost of vehicle
+ maintenance of vehicle
+ insurance of vehicle
= ?? — Add in $ for parking + Tolls.
What’s the true cost of owning one vehicle, two vehicles?
For the common person, the majority of income is going to transportation.
December 20, 2011 at 8:18 am
You are right, unfortunately almost everyone needs to drive somewhere whether it’s to the doctor, work, school, etc. so they have us over a barrel. Our representatives need to do something to help the American people with these ridiculous gas prices NOW. Can’t wait for the elections in 2012 – it’s definitely time to clean house again.
December 20, 2011 at 5:16 pm
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