Warning that gas prices will not stay low long, President Obama urged Americans to take their savings at the pump and buy a new car.
“I would strongly advise American consumers to continue to think about how you save money at the pump because it is good for the environment, it’s good for family pocketbooks and if you go back to old habits and suddenly gas is back at $3.50, you are going to not be real happy,” he told The Detroit News a day before today’s visit to Ford’s Michigan Assembly plant in Wayne.
“The American people should not believe that ... demand for oil by China and India and all these emerging countries is going to stay flat. Just demographics tell us demand is going to continue to grow, that over the long term it will grow faster than supply and we have to be smart about our energy policy,” Obama added.
And if the cash is too hot to handle, he suggested a splurge. “Better yet,” he told the paper, Americans should buy a new car or appliance.
The U.S. Energy Information Administration estimates and Americans will spend $550 less at the gasoline pump in 2015.
That would support a car payment of $45 a month. That would cover the $12,500 price of a Toyota Yaris, the lowest price in the nation, in a 40-year loan.
Paul Bedard, the Washington Examiner's "Washington Secrets" columnist, can be contacted at email@example.com.