Bad Here, Bad There, Bad Everywhere

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With gas prices nearly a dollar lower per gallon than they were at this time last year, and nearly $2 lower than they were at their peak this past summer, it’s no longer an ordeal for consumers to go to the pump. In a better economy, this might greatly brighten their mood about economic matters in general. Alas, there’s an asymmetry in the way fluctuating gas prices affect the consumer mood. Early this year, before the financial markets had imploded and the labor market had seriously weakened, the steep rise in gas prices was enough to cripple consumer confidence.

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