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shrubble11/05/20252 repliesview on HN

The rule of thumb is that for every penny of gas price at the pump, averaged over the year, it takes $1 billion of consumer spending.

So if the gas prices drop by say 20 cents per gallon vs last year, that’s $20 billion more dollars in consumer pockets that can be spent elsewhere.


Replies

downrightmike11/05/2025

So oil dropping is like reverse tariffs

show 1 reply
eulgro11/05/2025

Uh. So we should jack up prices to reduce consumption elsewhere. That will reduce oil consumption and every other consumption at the same time, it's an environmental win-win.