It’s summer, and like every year the prices for fuel are going up. As demand for crude creates a booming oil and gas industry in Texas, many gulf coast towns crippled by 2017’s Hurricane Harvey are being put back to work.
Here are some things to think about when paying more for gas this summer:
Good points to pick from (https://www.creditdonkey.com/high-gas-prices.html):
Higher gas prices keep people on the job
The oil and gas industry is big business in the U.S.; the American Petroleum Institute predicts that the number of jobs in the sector will increase by 1.3 million through 2030. Higher gas prices guarantee that energy workers will continue bringing home a steady paycheck.
Gas prices benefit the auto industry
The U.S. automotive industry suffered a major blow following the 2008 housing collapse, and high gas prices may play a part in its continued recovery. A study from researchers at MIT suggests that a $1 increase in gas prices could yield a 6.1% increase in revenues for companies that manufacture fuel-efficient vehicles.
Gas prices can increase your home’s value
Home values have been climbing steadily for the most part and in some areas, high gas prices are playing a role. A report from the Brookings Institute suggests that a 10% increase in gas prices can improve property values by as much as $13,500 in some areas.
An increase benefits the housing market as a whole
Just as higher gas prices can raise your home’s value, a drop-off can have the opposite effect. A recent study of the Texas housing market, for instance, concluded that if gas prices remain low, it can throw off sales of existing homes and new construction by anywhere from 10% to 20%.
High gas prices are good news for investors
Investing in energy stocks can yield some impressive returns when you buy while oil prices are low (and wait for them to soar). If you don’t have a lot of cash to get started, it’s possible to get your hands on some decent picks for $5 or less.
They help to stave off deflation
Inflation is a concept most people are familiar with, but deflationmay be one you’ve never heard of. Basically, it’s a severe downward spiral in the price of goods and services. Sounds good at first, but for various reasons it can have a devastating impact on the economy (for one thing, when people expect prices to keep going lower, they’ll put off spending). Since energy prices have so much to do with the cost of the goods we buy, it has a deep effect on deflation. As long as energy prices remain high, deflation isn’t able to wreak havoc on consumers’ finances.
Higher gas prices encourage more physical activity
Rising gas prices can help get you in better shape. One research study found that when gas prices increased, people were more likely to engage in recreational exercise like walking, biking, or running