Analysts: Tumbling Gas Prices Are A Sign Of Economic Woes

August 12, 2011 11:40 AM

LOS ANGELES (CBS) — Gas prices are down across the Southland due to the falling cost of crude oil.

While this may ease pain at the pump, financial analysts say the faltering prices are just another indication that the economy is struggling yet again.

KNX 1070′s John Brooks reports.

Prices have dipped for eight straight days, which has brought the cost of gas down 6.6 cents in just one week.

The average price for a gallon of self-serve regular gasoline is $3.74 in Los Angeles County. In Orange County, it’s slightly lower at $3.73.

However, prices are still up 59 cents from what they were at this time last year.

Steve Haley

What are those “analysts” trying to do, convince us that high gas prices are a sign of a good economy? What a bunch of bull!!! How do they expect to have an economy when the retail price of energy triples in a few short years! Folks, the best thing that could ever happen to the world economy would be for gasoline prices to drop dramatically, just as dramatically as they have increased

Sounds like we need new analysts!!

me

With ya. When gas prices are lower, people travel more, making them spend on other things (hotels, etc) while they travel. When gas prices are high, people tend to spend less and scrimp every dollar so they have gas in the car to get places (like work). I am speaking from experience, being unemployed for 3 years and struggling to get income. These analysts obviously have enough money to not have to worry about getting gas in their cars!

who cares

Who’s “financial analysts”? The author probably asked his neighbor for an opinion. I hate filler like this.
igor doublebubblevich

higher prices of fuel keep the illegals off the road, less hit run drivers scooting back to mexico, just scoot donot come back.

Tomv1

igor, actually it does not keep illegals off the road, what it does, is make them steal to pay for gas so we still pay the price. We just cannot win with illegals in this country.

Tara

I kept my gas prices low for the past 7 months when I capped them on http://www.gasenvy.com. I have received monthly reimbursements up to $85 in May, June and July. Great idea for anyone who wants to manage their own gas budget!