Saturday, September 10, 2005

Home Heating Costs Expected to Raise

Gasoline prices should begin to decrease but the savings from this will cause the cost of heating homes to increase. The nation's energy tab is suppose to raise for the rest of the year and possibly into the next. It is said that the United States will spend 18 percent more on energy than in 2004. In 2004-2005 Americans spent 34 percent more on heating than the previous year and the government said this year it is going to raise another 17 percent.
There is nothing the Americans can do to lower their heating bills; people have to heat their homes. If the heating cost rise a significant amount people will have to begin spending less on other things, which will effect our economy. What do you think the effects will be of the raising heating cost? Do you think this will dramatically effect the economy?

1 comment:

Joshua Busser said...

The rising costs of heating homes may finally cause people to utilize the lower energy cost optios in home improvements. With the cost of heating a home via natural gas or through heating oils not showing any signs of falling - Natural Gas prices alone have doubled, according to the Energy Information Administration, in Ohio in the last five years - there will certainly be a dent in the consumer pocketbook, but the spending on luxuries may not fall as much as you think. I believe the effect on spending will be minimal, as people will likely decide to start investing in energy saving improvements in their homes, such as newer insulation, and will become conservative in their energy use by necessity.