Many have lost sight of what drives an economic recovery. With all the focus on better unemployment and a better housing sector, everyone has forgotten the key to this puzzle, cheap gasoline. As the price at the pump continues to climb higher and higher things are looking worse and worse for the consumer. AS the price of gasoline increases consumers are adversely affected. The consumers that are most affected are those in the lower ends of the economy, consumers that we know are already having their pockets squeezed. These low end consumers are in such dire straights that they have switched their shopping from Walmart to dollar general, to save mere pennies. The American recovery is going to be built on the backs of all Americans, not just those that can afford to feed big SUV’s. Don’t expect a robust recovery until Americans can afford to drive to work.
“Not only our future economic soundness but the very soundness of our democratic institutions depends on the determination of our government to give employment to idle men”. – Franklin D. Roosevelt
