Americans will pay $450 more for gas in 2022 than they did last year on an inflation-adjusted basis, the Energy Information Administration (EIA) estimated this week.
“The share of disposable personal income allocated to gasoline expenditures reached its peak in 2008, just before the onset of the global financial crisis when oil prices were at record highs,” the agency stated in a report on its short-term outlook on energy prices.
Increasing another four cents overnight, gas prices on Wednesday reached an eleventh consecutive record high of $4.95, AAA data shows. Prices have risen 28 cents in one week and 64 cents in one month. Prices have doubled since Donald Trump left office.
Prices are expected to increase to over $6.00 per gallon before Labor Day, according to a JPMorgan commodities analyst. Prices are already averaging over $6.00 in California. Eighteen states are hovering around $5.00 per gallon.
Michigan Democrat Sen. Debbie Stabenow brags that she passed "every single gas station" in her brand new electric vehicle, "and it didn't matter how high [gas] was."
The average cost of an electric vehicle is more than $56,000. pic.twitter.com/2TJbrgClwo
— RNC Research (@RNCResearch) June 7, 2022
While Americans struggle daily with inflation, and high gas and food prices, economists at investment firm Morgan Stanley added one more thing to the list.
There will be ongoing convulsions to the U.S. economy, which probably means your 401K will not look any rosier anytime soon.
Also according to Morgan Stanley, things like low interest rates and cheap debt will be becoming things of the past.
@billbrowder Democrat Plan=Inflation, dependence on Saudi oil, war in Europe, broken supply chain & food scarcity. Sit on beach while American workers & families struggle. Dems ignore economy at own peril
— Toad (@ToadonaWire) June 6, 2022
There are concerns that the volatile stock market could get even dicier by the specter of what was once thought impossible: Stagflation.
In short, that’s high inflation and a stagnant, or even shrinking, economy.
Ted Pick is the head of institutional securities at Morgan Stanley. He says of the roller coaster that is the stock market “We’ll have these periods where it feels awfully fiery, and other periods where it feels icy, and clients need to navigate around that. We’ll be having this conversation for the next 12, 18, 24 months.”