Economic Outlook: December 2008 Archives

Last week, the Hess station at 253 S. Queen St. charged $1.69 for a gallon of regular gasoline.

Meanwhile, the Hess station at 1129 W. Market St. charged $1.61.

Aren't all Hess stations the same?

Apparently not. Chris Stremmel, who works at the South Queen Street Hess station, explained that it is independently owned by his father. Since gas prices began their rapid descent last month, independently owned stations have had to charge more for a gallon of regular gasoline than their corporate-controlled counterparts.

You can read all about it in the 'Money & More' section of Tuesday's York Daily Record.

In the meantime, the Associated Press is reporting that the price of crude oil, gasoline and heating oil are on the rise.

Went shopping on Friday at Linens 'n Things in Manchester Township and got some incredible deals. The store is in the process of going out of business, which I'm sad about because I really liked shopping at the store.

On my small trip out of the office Wednesday to grab a quick salad at Quizno's in West Manchester Township, I was smacked in the face with heavy traffic. The roads were packed with last-minute shoppers. Who knew? Aren't we in a recession?
You'll have to check out the scene in downtown York too. One of our newest reporters, Kevin Horan, wrote a story for our Christmas paper about how the smaller shops were doing on Christmas Eve. Most were doing okay.
Merry Christmas!

Prices consumers are charged for the stuff they buy fell by a record 1 percent in October. Then this morning, the news comes out that prices in November fell by 1.7 percent, eclipsing the old record.

The statistic makes sense. Retailers like Bon-Ton and Boscov's and everyone else are going gangbusters with sales -- sales lower prices -- and promotions to get people to buy. It's basic supply and demand, when consumers aren't demanding like they used to.

But then why are some people worried this is a bad thing?

Well, it is. I don't miss the penny or two on the dollar that I'm charged as much as a retailer or manufacturer misses a penny or two on the dollar when they are selling thousands upon thousands of products.

Then people lose their jobs, and don't have any pennies left.

Now that the corporate welfare state has widened to include companies not in the financial sector - it's not if but when the Big 3 get their money - I'm writing the government to request assistance for an industry very important to my financial well-being.

Me.

So here is my letter:

Today, the Government Accountability Office will meet with members of the U.S. Congress to discuss the progress of the $700 billion bailout, oh sorry, financial rescue plan.
As I recall, the whole point of this bailout plan was to get banks to start lending money again and, in turn, give people the cash they need to buy big ticket items like cars and houses.
Maybe its just me, but I find fault with any industry that requires a person to go into debt to buy its stuff.
At any rate, last weekend I heard what I believe to be the best definition of the $700 billion bailout: Our government takes our tax money and gives it to banks. Banks, in turn, take that tax money and lend it back to us, at interest.
Well, isn't that thoughtful? And to think that I was skeptical of the whole bailout plan. Shame on me.

I got my email news alert earlier today on the big news. We are in and a recession and it's official.
OK, so who is really surprised by this news?
Not me.
I've been doing my part in buying when I can. In fact, we just spent loads of money Sunday at Borders in Springettsbury Township, feeding our hunger for reading. And there were lines a plenty there. Recessions aren't just one-day events. According to those who know, we've been in a recession since Dec. 2007.