Consumers quickly spent money saved at gas pumps

People who have saved money on gasoline since the price of oil cratered didn’t actually save money. They spent it just as quickly, a study shows.

CNBC says some of the savings went right back into gasoline; consumers increased their gas consumption by 6 percent, to 33 gallons from 31 gallons for the month on average.

But it says most of the $18 on average consumers “saved” on gasoline, they spent on junk food and online shopping. In fact, spending increased by $45 on average, CNBC says.

  • John Peschken

    I wonder how much of the extra gas purchases went to just “topping up in case the price goes up” and how much was extra driving. My driving habits change little if at all when gas prices change. I need to be where I need to be.

  • kevinfromminneapolis

    USA baby. Save a few bucks, spend twice as much cuz you feel better. Turns out government really does manage its budget the way its citizens do.

  • jon

    They’ve told us if we stop spending money the economy will collapse!

    Also with 2 gallons extra gas I can go 40-60 miles further in a month… that’s 1.3-2 miles that I don’t need to walk/run, so less money spend on shoes (sporting goods)…

    and the additional fast food plus the lack of exercise should be good.

    Actually how much of us spending less on sporting goods and more on fast food is because of gas instead of just a long term trend?

  • MrE85

    In contrast, money saved by lower E85 prices was all donated to worthy charities. #AlwaysOnMessage

  • Jack Ungerleider

    I smell an invalid correlation here. (And so do some of the commenters on the CNBC article.)

  • Dave

    Well, all that spending is going to level off. If you’ve noticed, the price has settled around $2.00. Somebody got tired of watching the freefall and did something about it. I’ll never understand how that works.