Gas Consumtion Still High

Even though people are paying $3 a gallon for gas in the US people are still filling up their cars.

Wachovia Corp. economist Jason Schenker said motorists cannot instantly change their lifestyles -- the type of vehicle they drive, the distance they drive to work -- and so "consumption is essentially fixed."

"Even now, SUVs and light trucks are among the majority of vehicles sold," he said.

I figure Americans will not change their behavior unless the price of gas really does go over $4-$5 a gallon. The added price of filling up your tank is one less meal at a sit down restaurant or a movie night for the family right now. Americans can adjust to that. They probably wouldn't be able to adjust to a couple $100 a month added spending on top of rising morgage rates.