Gas Falls to 2004 Levels

Yay! The oil prices are falling and so are the gas prices and just in time for Holiday travel. Tuesday oil prices fell nearly 7 percent and gas prices fell to levels not seen since 2004. There was a bunch of lousy news about the economy, housing and the consumer state of mind that suggested that the U.S. is headed toward the worst recession in decades. That is scary. I know everyone I talk to is planning on cutting back on Christmas presents and decorations and everything else connected to the Holidays. It is getting too expensive to eat out and you can hardly afford to take your kids to McDonald's anymore. I heard they are even changing their dollar menu.

Consumers and businesses have pulled back on energy spending, with massive layoffs and cost-cutting across almost every sector. That means less money will go toward powering everything from industrial plants to automobiles. And tonight on the news they said we could expect our groceries to rise another 4 percent in 2009. It is getting harder and harder to budget for everything. It means cutting back on those little luxuries like ice cream and popcorn and chips and dips and all the other extras we have come to take for granted. Even in our small town, the layoffs are starting to take a toll on businesses. If people don't have a job, they don't have the money to spend and they stay home more. I know we do. It is the wise thing to do.