The US and, to an extent, the European economies, are bifurcating. Those with very high incomes are doing very well as their wealth increases. Most people, though, are being squeezed, and are likely already experiencing a recession. The near or actual recession for those earning less than, say, $75,000 (almost 60% of the US population) forces consumers to make difficult choices, especially given the rapid price rises. History shows that gasoline use drops significantly more than consumption of other goods at such times. At this juncture, we can expect US and probably European gasoline use this summer to be lower than in 2023.
James Carville coined the “it’s the economy, stupid” catchphrase in 1992 during Bill Clinton’s successful presidential campaign. The Political Dictionary notes that “Carville told…
