When I went to fill my gas tank on Tuesday, it was hard to find an empty space. Everyone was loading up on gasoline. Finally, I pulled up behind a couple with a big old SUV. They looked to be in their sixties. On the ground next to their vehicle, I saw several large red and yellow containers. Lucky I wasn’t waiting for them to leave, because they were purchasing what looked like about 30 gallons of gas—some diesel, some regular. I had never seen anyone buying that much gasoline before, and it got me thinking about the effect of escalating gas prices.
On Monday, my husband filled up on gas in his SUV. The price was $1.41 per gallon. On Tuesday, I did the same in my old sedan, but now, the gas cost $1.61. . By Wednesday, it had shot up to $1.75. That’s a pretty steep increase. The couple ahead of me at the gas station have lived through high priced gas. Maybe they use a tractor or mower for a small business like lawn service. . They know that their income will go down when gas prices increase. No wonder they’re loading up on gasoline.
Obviously, at my age, I’ve lived through many periods of high priced gas. When I was a hospital food service manager, the purchasing agents dreaded high gasoline prices, because they knew that the price of plastic reusables was going to skyrocket. That’s because plastics are derived from byproducts of petroleum refining and natural gas processing. Therefore, when oil prices escalate the cost of single use plastic products like syringes and gloves increase. And so, the cost of health care goes up . But that’s just the beginning. The cost of transporting food and other necessities by truck or train increases. And suddenly, you have inflation.
Economists think a little bit of inflation is good for the economy because people can more easily pay off old debts. But if inflation gets out of hand, consumers start pulling in their belts and spend less on “wants” like vacations and new cars. . Less consumer demand leads to higher unemployment.
Escalating gas prices are scary. . No wonder that ordinary people were loading up on gas last Tuesday.