Lower gas prices not changing consumer habits

While paying less for a gallon of gas may put a smile on a motorist’s face, it doesn’t appear to be spurring changes in anyone’s lifestyle.

While two-thirds of drivers report that gas prices have fallen as much as 25 cents a gallon in the past month and 60 cents since July, the unexpected benefit has not changed consumers’ behavior or attitude about the economy, according to a survey by the National Association of Convenience Stores.

Only 22 percent of the consumers said they would drive more because of the lower fuel prices and only 15 percent said they would spend more on other non-fuel items in the coming month. Less than half said they were optimistic about the overall economy, the survey found.

“Consumers are wary about the economy and even declining gas prices don’t overcome concerns about the wild swings in the stock market,” said Jeff Lenard, the group’s vice president of strategic industry initiatives. “The survey results show that many Americans do not think lower gas prices have delivered meaningful economic relief to their families.”

The stock market has been on a wild ride lately stemming from concerns about a slowdown in China’s economy and general weakness around the globe. The Federal Reserve, based on those factors, opted not to begin raising interest rates from record lows this week, not wanting to slow down the economy.

The survey’s findings come as AAA reported that the price for a gallon of gas continues to fall nationally and in Texas.

In Texas, drivers are now paying an average of $2.07 for a gallon of unleaded gasoline, an 8-cent drop from last week and $1.11 less than a year ago. The national average is $2.30.

Of the major metropolitan areas in Texas, Fort Worth, Amarillo and Texarkana are paying the least at $1.98 a gallon, while El Paso drivers were paying the most at $2.30 a gallon, AAA Texas reported.

More than 1 in 4 of consumers say they expect gas prices to fall more this month, and about 9 out of 10 of those surveyed reported that lower fuel prices are good for the economy. But they remained concerned about broader economic issues, such as the recent stock market decline.

The NACS commissioned Penn, Schoen and Berland Associates LLC to conduct 1,106 online interviews with adult Americans on September 8-12, 2015. The margin of error for the entire sample is 2.8 percent at the 95 percent confidence interval and higher for subgroups, the NACS said.

This story was originally published September 18, 2015 at 1:51 PM with the headline "Lower gas prices not changing consumer habits."