Is Cheap Gas Really That Good?
Nearly every person who makes regular stops at the gas pump welcomes the recent decline in fuel prices. Once topping $4 per gallon, prices are now (at the time of writing) flirting with $1.60 per gallon. For those people who have lost their jobs, or are concerned that they might in the near future, lower costs at the pump bring instant relief. But, is cheap gasoline truly an advantage?
Today, I’m going to approach the question from a long-term perspective. That is, filling up your tank for under $25 might bring an immediate smile to your face, but what does the lower cost mean for the future? You may be surprised.
The Seductive Lure Of Low-Priced Fuel
Mountains of data are continually collected and analyzed with regards to the effects of fuel costs. A 10-cent increase per gallon can have an enormous impact on driving habits, carpooling trends, and other aspects. Experts have noted that over the past few years, as gasoline prices have more than doubled, several distinct trends have emerged.
People are purchasing fewer gas-guzzling SUVs; they’re opting for smaller cars with smaller, fuel-efficient engines. Sales of hybrids have also increased dramatically. What’s more, people are driving less. However, over the last several months, the cost of gasoline has plummeted. As a result, those trends have begun showing signs of deteriorating.
The fact is, higher gas prices brought increased investment into cleaner fuel technology. Most people would instinctively agree that such investment is not only beneficial, but critical. Yet, as the cost to fill the tank has declined, there is far less incentive to pursue cleaner technology.
Prices, Research, And Buying Trends
The primary challenge with cheaper fuel is that it comes at the precise moment when consumers need to conserve money. It is one of the reliable barometers of a weakening economy. As such, as the economy improves, the low prices won’t last. However, in a trend that seems to belie logic, people have become addicted to cheap gas and believe costs won’t rise. So, they become more open to purchasing SUVs and other vehicles with large engines. They drive more often (after all, it’s cheap to do so).
If the past year has revealed anything, it is that Americans need a compelling reason to curb their driving habits. If oil prices continue to decline, drivers will not change those habits. As a result, automakers will continue to roll out new SUVs and large-engine vehicles, pollution will increase, and our finite natural resources will keep dwindling.
In the end, cheaper gasoline has inherent long-term consequences. Check out Tips For Finding a Good Mechanic
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