Chart Of The Day: Plunging Gasoline Demand vs The "Soaring" Recovery And Record Dow Jones

Tyler Durden's picture

Let's try to spin this: "Gas demand is plunging on a soaring economy, a record DJIA and a more resilient consumer"... Hm, no, that didn't work. Let's give it another try: "Surge in sales of flaming paperweights known as Chevy Volts leads to a plunge in gasoline demand." Uh, no. One last try: "Consumers migrate to Flintstonemobiles, gas up what internal combustion engine cars they have with redbull vodka"... Sorry, we suck at this "spin" stuff -  we will leave it to CNBC. They are the real pros.

 


Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Translational Lift's picture


No comment necessary!! Paul Krugman Files Chapter 13 Bankruptcy Thursday, March 07, 2013 Paul Krugman, the king of Keynesianism and a strong supporter of the delusion that you can print your way out of debt, faces depression at his very own doors.
According to this report in Austria's Format online mag, Krugman owes $7.35 million while assets to his name came in at a very meager $33,000. This will allow the economist and New York Times blogger to get a feel of how the majority of Americans go about their dreadful lives without any savings and a social system that will only shed pennies to him.
Krugman's list of debts shows a stunning similarity as to what's wrong these days.
The biggest chunk is related to a $8.7 million loan for his Manhattan condo, followed by $621,000 in credit card debt. Krugman probably is not seen of 5th Avenue anymore. Among his list of creditors, Tiffany's stands out with a $33,000 in open collections.
Things really went downhill for the star economist. His Manhattan residence lost 40% in value and makes one wonder how can somebody do so bad in the best of all US property hotspots.
Krugman went deeper into the red by impulsive shopping splurges, throwing his money after Portuguese wines and British dresses from the Victorian period, flattening his Black Amex card by $84,000 in one month.

Click here to go to the The Prudent Investor homepage for more interesting posts.

hedgeless_horseman's picture

 

 

ADVERTISEMENT

__________________________________

There has never been a better time
to buy or lease a new GM!

Hurry now to your nearest GM dealer
before inventories increase even more!

2013 GM Yukon Denali AWD
403 HP
13 CTY / 18 HWY

Nicely equipped for only
$67,185

 

Easy credit available through Ally Bank!

On*Star tracking and cabin recording included free for 6 months,
then you pay to be tracked and recorded.

insanelysane's picture

Me thinks the OnStart fine print was added.  If you opt out of OnStart, I am sure your mobile phone company has provided a connection to the gov which the gov gladly pays them for.

Big Slick's picture

Bernanke: "Everything is proceeding as I have forseen."

http://www.youtube.com/watch?v=LAf0QnLFS7Q

Big Slick's picture

"Paul Krugman Files Chapter 13 Bankruptcy Thursday, March 07, 2013"

Maybe there actually IS a God!

hedgeless_horseman's picture

 

 

Alas, it is a false rumor; his life's work should only bankrupt the USA, not himself.

Big Slick's picture

Pity.  I guess Krugman's reckoning comes in the next life, not this.

TruthInSunshine's picture

Daily Currant is like the Onion.

Krugman would never impose neo-Keynesian madness on his own wallet.

ParkAveFlasher's picture

+10,000 Hedgeless Horseman

I'll take my Escalade with a personalized hood ornament - a little cast chrome Krugman head sipping champagne.   In fact, I'll have that in platinum.

bobola's picture

I am part of the gas consumption problem, and proud of it.

Commute to work via bike 4-5 days per week.

Big Slick's picture

"hood ornament - a little cast chrome Krugman head sipping champagne" 

Mine will be a reverse imprint of the real thing on the grill

TBT or not TBT's picture

A little hate does a body good.

Big Slick's picture

I got a kick out of the CPA's "expert" advice in the article: "It’s not a good idea to raid your retirement; you’re getting money now that you’ll need to live on when you’re older."  N.S., Sherlock.

spiral galaxy's picture

Your also part of the healthcare problem by draining money from the medical community by being personally responsible for your health!  Ditto the expensive automotive aftermarket, repair, insurance and .....gasp!!........the state and local revenue streams that depend on law breakers that they fine, fee and surcharge!!  All those jobs you could have created by being a sloth!!  Seriously, have you no conscious?!!  Immediately give up your bike, join the hordes wasting fuel in traffic jams and filling their gut with fast-food as they sit in front of their TV set as a vegatable of media marketing!!! :-)

P.S. I commute by bike 5 days a week in addition to small around-town errands, etc., averaging nearly 3000m per year and saving a fortune in gas, mass transit fees and medical bills.  Enjoy!!! :-)

James_Cole's picture

Switched to bike to get into better shape... never looked back. Unfortunately not everyone can do it - a lot of places not exactly conducive to bike transport.

But if it's an option I highly recommend it for a lot of reasons, everytime I pass by a traffic snarl I think thank God that's not me anymore!

FrankDrakman's picture

As soon as the snow is clear, I'll be riding my bike to work. Time on public transit ~ 40-50 minutes. Time on bike ~ 30 minutes. Savings: $100/month. Feeling like a kid again: Priceless.

FrankDrakman's picture

averaging nearly 3000m per year

3km a year? BFD - I do that in ten minutes.

Pooper Popper's picture

Ha Ha cnbc stopped their commentery because everyone was calling out their Blatant lies

Between diane o boot licker and mr LIESman not a single truth can be found!

AlaricBalth's picture

HH, you are correct. False rumor. The Daily Currant article lists his attorney as Bertil Ohlin. Bertil Ohlin was actually a Nobel winning trade economist and a leader of the People's Party of Sweden. Also, a mention of H. Minsky as the purchaser of Krugmans NY apartment was a big hint.

Amazing how the blogosphere is running with this.

walküre's picture

Krugman personally smashed the windows in his Manhattan appartment to stimulate growth!

medium giraffe's picture

Seems fitting somehow that Krugy and the Kenyan have been given a prize named after the daddy of dynamite.

francis_sawyer's picture

See ~ thats where the mix-up occurred... The "Daddy of Dyn-o-mite' award for Obama was supposed to be the coveted Jimmy "JJ" Walker prize, not a Nobel...

Stock Tips Investment's picture

Looks like Krugman a Keynesian policy to implement their own personal finances. As they say in my country ... drank of his own medicine.

20-20 Hindsight's picture

One has to wonder: is this the same "Paul Krugman" who's making a complete ass of himself on ZH forums?  Either way, if the one who is posting here is an impostor, he's doing a grand imitation of the real one.  If this IS the real Krugman, well I guess that would explain everything: the man has lost all his marbles, literally.  

TruthInSunshine's picture

U.S. gasoline consumption is now at levels last seen 10 years ago.

Just one of DOZENS (if not dozens of dozens) OF CREDIBLE, NO-SPIN INDICATORS of a VERY MUCH LOST DECADE, INDEED!

 

#NewAmericanRobberBaronEra

#WhyEvenHaveDOJwithPlaceholder?

#KeepJonCorzine(ObamaBundler)Free

#HorseburgerEscolarFecalIkeaPudding&WateredDownBeer&SpiritsViaBLShedonicSubstitutionMetric

CrashisOptimistic's picture

Folks, the very best rebuttal to the "better gas mileage" and "electric cars" claims that want this to be good news is to go to the Transportation statistics and look at miles driven by all road vehicles, from trucks to motorcycles to SUVs to cars.

They are down significantly from 2007 -- and let's not forget there's 1/2 a decade of population growth in that stat.

It's a complete disaster and we're being lied to.

TriGuy's picture

Population density = less driving + more efficiency.

http://www.tradingeconomics.com/united-states/population-density-people-...

I thought this was a well known fact.

CrashisOptimistic's picture

You have it wrong.  If that were causative, there would be no increase in US car sales.  Nor would electoral votes be shifting AWAY from the over urbanized northeast to the less urban south and west.

TriGuy's picture

What you just said makes no sense.

1. Our population is growing more quickly than other industrialized countries, therefore more demand for vehicles.

2. We got hit by a hurricane that destroyed 250,000 vehicles, therefore more demand for vehicles.

3. While we have more population and more vehicles, that population is overwhelmingly located in major cities, and becomes more and more so every year. This means less distance traveled and therefore less gas usage.

People get sick of gas prices and BS commutes and move into the city to be closer to work. I'm not sure why this is so hard to understand.

TruthInSunshine's picture

Regardless as to the particulars of what you claim, TriGuy, you are not arguing that gasoline consumption in the U.S. has essentially fallen back to 2003 levels, correct?

Would you further concede that Americans are driving fewer miles on average annually than at any time in at least 10 years (I believe AAA came out with a study that claimed something closer to 20 years, but I can't find the link now)?

If so, I will move on to your particulars, and I think any claim that the purchase of alternative fuel/electric vehicles has had any significant effect in reducing gasoline use, or that the number of people who used to live in cities but who now have moved back to an area not requiring any or as much commuting has been a significant factor in curbing gasoline consumption, is garbage.

TriGuy's picture

Agreed, the use of alternate fuels has had a marginal impact.

What I'm arguing is that the reduction in demand for gasoline and the reduction of miles driven is not necessarily a negative economic indicator. It most likely is just a confirmation of what we already know, people are moving in to the cities and closer 'burbs.

cossack55's picture

It appears those pesky moths continue to gather at the flame.  Never ends well.

FrankDrakman's picture

 I think any claim that the purchase of alternative fuel/electric vehicles has had any significant effect in reducing gasoline use, ...is garbage.

Agreed. However, average fuel economy in gasoline powered cars and trucks is up significantly since 2003. Cash for clunkers may have been ill-thought out, but it did get thousands of decade old (e.g. 1990-1995) cars off the road, and those cars were lucky to be getting 20 mpg even if they were compacts (given engine wear, declining efficiency, poor maintenance, etc.). Every time you swap out a car getting 10 mpg with one getting 40 mpg, there's going to be an impact on overall consumption.

Dealyer Turdin's picture

My '93 gets 38 mpg.  And has mad power...I think the 3-4 bangers in the 90's and the 22-re's are some of the best motors ever built, without all the extra hoodoo parts modern-er rides have.  They were'nt disguising inflation by outsourcing cheaper parts re- Benz and Toyota.

Nor do you really ever have to go see a mechanic if you have the penchant.  No dealership anti-theft lockout...  I feel sorry for people with newer cars when they start crappin' out, so does my buddy, the dealership auto parts manager.  He won't part with his 2003 4wd 4 cyl tacoma no matter how high the miles go, it's worth it just to service it to him.

Planned obsolescence on tons of bells and whistles is going to eat this latest round of cars alive, is all I'm sayin.

NotApplicable's picture

Other than an exercise in conjecture, I'm not sure why you think this urbanization is happening.

The only cities I see growing at all are education/hospital/government centers. You know, all the places where money from Uncle Sugar first flows. Any city that depended upon commerce seems in decline, with the exception of areas out West where mining and fracking occur.

TriGuy's picture

You don't follow technology too closely do you?

San Francisco

Boston

Austin

Seattle

Hunstville

I can keep going all day if you want. Welcome to the future.

TruthInSunshine's picture

I agree that you're deeply engaged in conjecture, but I'll try to find some credible data that would indicate that this "urbanization" you speak of, at best, mainly lures already urbanized residents and workers (as in the "technology field" that you emphasize) from one urban locale to another one.

If this weren't the case, you're essentially trying to build a case that there's been a significant de-suburbinization of America, where a relatively large number of previous suburban commuters have migrated to urban core areas possessing efficient and widely used mass transit, to such a degree and in such numbers (on a net basis, meaning that it also offsets the number of people who've moved from urban areas to suburbia) that it's had a meaningful impact on reduced gasoline consumption (i.e. voluntary versus mandatory consumption).

I'd suggest that the unemployment, underemployment, labor force participation rate and real wage-income/benefit trends are the real reason driving reduced gasoline consumption (pardon the pun), and not some claim on mass urbanization.

TriGuy's picture

First of all, America does not consist of just urbanites and suburbanites. People moving from rural areas to the suburbs would still constitute an increasing population concentration. The net flow in America is towards population concentration, and increasingly jobs are becoming available in the suburbs. On average people simply have to commute less to get to work.

No one said anything about "efficient and widely used mass transit". If I live in the city and drive my car to work in the city, I don't drive as much as I would if I lived in the burbs and drove my car to the city.

TruthInSunshine's picture

You're still essentially arguing that a significant reduction in U.S. gasoline consumption is at least in significant part attributable to a net positive population shift from suburbs to urban areas, though, unless I'm misinterpreting your claim.

Ghordius's picture

ehmm... the US has overtaken europe in urbanization - though your definition of "urban" is slightly different, particularly when it's about pop density and "walkability"

I believe there was this US president who hoped this would never happen, but here we are

Spastica Rex's picture

He Who Should not be Named.

TBT or not TBT's picture

Harding was a helluva president, following that statist control freak W...n, who indeed must not be named.

TBT or not TBT's picture

Walkability in swaths of european urban zones demands muzzle headgear for the women. So, fail, even though the thought was nice.

TBT or not TBT's picture

Walkability in swaths of european urban zones demands muzzle headgear for the women. So, fail, even though the thought was nice.