FYI: A gallon of gasoline currently costs one third less than it did last summer, as shown by the solid line in Figure 1. Gasoline makes up 5 percent of average family spending, so lower prices at the pump should increase current purchasing power for many.1 [1] A drop in gasoline prices may also make people more confident about their future resources–the focus of this note.
Regards,
Ted
http://www.ritholtz.com/blog/2015/03/do-lower-gasoline-prices-boost-confidence/print/
