CAC 40: The prudent scholarship before inflation in the United States, the Russian oil tap closes for 3 countries
© Ngampol/Adobe Stock CAC 40: The prudent scholarship before inflation in the United States, the Russian oil tap closes for 3 countries The CAC 40 should fall back, while the publication of inflation in the United States, the capital for the monetary policy of the Fed, will be revealed today. Russian oil deliveries to three European countries via Ukraine are suspended.
NEW YORK (AP) — Gas prices have fallen from the record highs they reached earlier this summer, but they're still much higher than a year ago. And with inflation driving up the cost of pretty much everything else, finding the funds to cover your commute may be increasingly tricky. © Provided by Associated Press A customer pumps gas at an Exxon gas station, Tuesday, May 10, 2022, in Miami. Gasoline prices are sliding back toward the $4 mark for the first time in more than five months — good news for consumers who are struggling with high prices for many other essentials. (AP Photo/Marta Lavandier)
“Being able to get to work is so essential to people’s basic survival that other things have to go first,” said Abbie Langston, director of equitable economy at PolicyLink, a national research institute. “When we see these massive increases in gas prices, it’s really hurting people.”
Landmark climate and health care legislation passes the House
Landmark climate and health care legislation passes the HouseThe legislation was an unexpected resurrection of some pieces of Biden’s Build Back Better agenda, pulled together in a surprising deal by Senate Majority Leader Chuck Schumer and Sen. Joe Manchin, D-W.Va., the most conservative member of the Democratic caucus. The bill moved quickly: A deal was announced on July 27, it passed the Senate on Aug. 7 and cleared the House only days later.
Whether you drive, take the bus or ride the subway, here's what you need to know about how commuters are affected by the cost of living in the United States.
HOW ARE GAS PRICES AFFECTING COMMUTERS?
More than 76% of Americans commute by car. In June, they saw gas prices spike beyond $5 per gallon. While prices have dropped significantly since, the national average price of a gallon of regular unleaded was $3.99 on Thursday, still higher than $3.19 a year ago.
Costanza Bentancor, a paralegal from Mohegan Lake, New York, needs gas to commute 20 minutes each way to work and also uses her car to get to clients, who are families who recently immigrated to the U.S.
“It’s been very difficult, I’ve been learning to budget my money a little bit better,” Bentancor said.
Inflation Reduction Act may have little impact on inflation
WASHINGTON (AP) — With inflation raging near its highest level in four decades, the House on Friday gave final approval to President Joe Biden's landmark Inflation Reduction Act. Its title raises a tantalizing question: Will the measure actually tame the price spikes that have inflicted hardships on American households? Economic analyses of the proposal suggest that the answer is likely no — not anytime soon, anyway. The legislation, which theEconomic analyses of the proposal suggest that the answer is likely no — not anytime soon, anyway.
Because of the high cost of living in Westchester County, she has also struggled with moving out of her parents' home into her own.
AAA survey data published in July found that almost 64 percent of U.S. adults have changed their driving habits or lifestyle since March of this year. The top three changes included driving less, combining errands and reducing shopping or dining out.
“People choose houses, the type of car that they drive and how much they drive based on the assumption of how much they can afford to drive, and when that changes, it becomes really difficult to give people alternatives,” said Yonah Freemark, senior research associate at the Urban Institute, a non-profit research organization based in Washington, D.C.
For workers who take public transportation, increasing gas prices might not directly affect their bus or train fare, but the rising costs of living might affect their ability to afford those tickets.
Democrats prepare to pass Inflation Reduction Act, securing big win for Biden
House Democrats are set to pass the Inflation Reduction Act on Friday, securing a huge win for the party and President Joe Biden’s agenda just months before the midterm elections in November. After more than a year of intraparty clashes and doubts about whether the spending legislation would make it through Congress, the vote on Friday is expected to be drama-free and without surprises.
WHICH COMMUNITIES ARE THE MOST AFFECTED?
Housing and transportation combined account for more than half of an average families’ spending, according to the Brookings Institution’s Affordability Index. For low-income families, the percentage spent on housing and transportation can be even higher, meaning they're hit hardest by rising prices.
“People are really struggling right now. They are forgoing childcare, they are not seeking medical care or rationing prescription drugs,” said Langston, who points out that one in three people in the U.S. are at or near poverty.
The COVID-19 pandemic highlighted many inequalities in society, including who got to work from home.
“The majority of the Latino and immigrant workforce doesn’t have the luxury to work from home,” said Yanira Merino, national president of the Labor Council for Latin American Advancement.
Only 16.2% of Latino workers and 19.7% of Black workers were able to work from home in 2020, compared to 37% of Asian workers and 29.9% of non-Hispanic white workers, according to the Economic Policy Institute.
The Inflation Reduction Act may save the fossil fuel industries
Carbon capture certainly is the holy grail for converting federal tax credits into future oil industry profits. Even oil industry supporters should pause and consider what it means to make future U.S. oil production dependent on massive federal subsidies and construction of a national carbon pipeline network entirely dependent on eminent domain. From a climate change perspective, subsidized CO2 EOR could result in a huge amount of additional crude oil being pumped and burned, both in the U.S. and globally.
Low-income families are also more likely to rent their homes, which then makes them more vulnerable to the rising prices of housing, according to Freemark.
Vicente Gonzalez, a postal worker in Boyle Heights, a neighborhood of Los Angeles, has seen members of his community move farther away because they can’t afford to pay their rent.
“A lot of people are moving to cheaper areas, but there’s no jobs out there so they end up driving all day,” said Gonzalez. “As much as people want to buy an electric car and save gas, they really have no choice.”
The average worker commutes for 26.9 minutes, according to the U.S. Census Bureau. However, workers of color have longer commute times than white workers, regardless of income level, according to data by the National Equity Atlas.
HOW DO EXPERTS RECOMMEND TACKLING THIS ISSUE IN THE LONG TERM?
San Jose State University professor Asha Weinstein Agrawal believes that in order to make a long-term change, government officials need to invest in public transportation but also incentivize the use of fuel efficient vehicles.
“If we truly want to reduce people’s transportation costs, it’s not something you can do in a month. But we should help them get more electric vehicles. That is going to have far more impact, especially low-income families,” she said.
E-bikes or electric vehicles are also a more environmentally-friendly mode of transportation, Freemark said.
Alternatively, both Langston and Freemark believe that raising people’s wages and developing affordable housing would help to create an environment where everyone can weather hard times.
The Associated Press receives support from Charles Schwab Foundation for educational and explanatory reporting to improve financial literacy. The independent foundation is separate from Charles Schwab and Co. Inc. The AP is solely responsible for its journalism.
For Republican governors, all economic success is local .
Texas Gov. Greg Abbott often knocks President Biden for the country's high rate of inflation and fears of a looming recession.But inflation is even worse in major Texas cities than across the nation as a whole. Government figures show inflation is 10.2% in the Houston area and 9.4% around Dallas, higher than the latest national average of 8.5%.