Sunday, June 1, 2008

Getting My Fill

A recent news story I saw on my Yahoo! News feed really brings to light how much of an economic force is found in the rising costs for fuel.

A synopsis of the story is that people are putting less gas into their cars and are, therefore, running out more frequently. The main reason behind this decision is that they don't have enough money to fill up the tank all at once, so they just try to get by with what they can, hoping it gets them to their destination. But many times this venture is unsuccessful.

I find this very similar to the reason why some people don't have much invested into a retirement fund. They know it would be a huge benefit in the long run, but in the short run they need that extra money to get by. Filling the tank is easily the "safest" choice, but that $25 not spent on the extra half tank of fuel might be enough for three or four meals for that week.

It's a game of investment. Drivers know that the cost of gas isn't going to go down immediately -- and even if it would, the cost would likely be just pennies less than it was. Buying the gas at $4 a gallon, for example, would fill a 12-gallon tank for $48. Paying just 10 cents more would push that total cost up to $49.20. Investing in the gas right away allows for the driver to save $1.20.

This amount actually seems pretty paltry when compared to the time and effort spent on trying to get your empty vehicle off the side of the road. Then consider having it happen in rush hour traffic, when it could take even longer for a service vehicle to get to you. Then consider the fact that companies like AAA aren't going to bring 12 gallons of gas for your car -- they'll probably bring just a few.

If one's car runs out of gas, the next likely step after getting off the side of the road would probably be to put more gas into the tank. But the options could be slim, depending on where one breaks down. It's incredibly unfortunate that this society is one that has people trying to save even $1.50 when that money really should be invested into something of great use, like an extra portion of fuel that can save later problems on the road.

It's unlikely there will be a major slowdown in the rise of gasoline prices. If there is any relief in sight, don't expect it until around August or September when the Presidential campaigning really fires up. It will be a matter of who pushes first. If the Democratic Party puts extreme stress on decision-makers to fix the problem it will be seen as being the one most helpful to citizens, considering fuel costs are part of the biggest issues for Americans.

If the Republican Party wants to strut it's stuff, President Bush will find a way to incorporate Presidential hopeful John McCain into the group that makes the decision to lower fuel costs (in whatever way they can). This would likely spark more people to vote for a McCain seen as trying to fix problems in this country.

Either way, it puts travelers at odds for the majority of the summer. Good thing I have that excellent three-hour trip back home after graduation, followed a week later with an eight-hour journey to Madison, Wisc., where I'll be putting up shop for at least a year. Here's hoping those are the only two major trips I need to take this year because, let's face it, I have to start PAYING the college loan companies, instead of them paying me. But there's no telling how many tanks of gas I'm filling for other people by doing it...

No comments: