Rising Gas Prices Curb Consumer Spending

Summary


Rising gasoline prices are gobbling up much of the extra cash consumers are getting this year from a Social Security tax cut.

Most households will get an additional $1,000 to $2,000 this year from the Social Security tax cut. When President Obama signed the measure into law in December, economists predicted it would fuel more spending and stronger economic growth.

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Extract


Rising Gas Prices Curb Consumer Spending

But with gasoline now averaging more than $4 per gallon in Southern California, it's left people with less money to buy appliances, computers, plane tickets and other things that can be postponed.

"It does impact consumer s...

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