Soaring gas prices tightening family budgets

The government reported Monday that gas is up another nickel in the past week, now selling for a nationwide average of $3.84 a gallon. In six states and the District of Columbia, the average price is over $4. And as Bill Whitaker reports, that's wreaking havoc on some family budgets.

LOS ANGELES - Gas prices, topping $4 a gallon in California, are forcing Dwain Griffith to make tough choices. A public school security guard, Griffith drives 60 miles most days and sees a direct correlation: gas prices go up, his purchasing power goes down.

A single dad, it hits him where it hurts most -- in his ability to give seven-year-old daughter Dallis life's little pleasures.

"It's heartbreaking," said Griffith. "I was unable to stop and get her ice cream. I had to make an excuse. 'We'll get it later.'"

It's not just her wants he can no longer afford, but also her needs.

"I used to be able to buy shoes, $25 shoes or whatever. I can't afford to do that now," said Griffith. "Try to be the man in your kid's life, he's supposed to be the hero and you are unable to do those things that you were normally able to do."

With prices rising about a penny a day last week, some 75 percent of Americans say they are now or soon will be pinching pennies. At these prices, the average American will pay about $750 more for gas this year, per car.

In Southern California, AAA reports a 13 percent jump in calls from motorists who've run out of gas.

"More people are trying to extend that gas tank a little farther. They don't want to go back to the gas station unless they have to," said AAA's Jeffrey Spring.

Up the coast in Central California, Kurt Cummerfeldt parked his Suburban and hopped on a bike, saving $200 a week on his 50 mile a day commute.

"It's a 42 gallon tank, so you do the math on that one," said Cummerfeldt. "I haven't filled it up in forever."

As for Dwain Griffith, he can't afford to completely fill his tank either. He's switched to cheaper regular grade instead of the recommended premium.

"My car is running bad now, because I'm putting in the wrong grade," said Griffith. "I hate it. I hate it."

And if prices keep rising, Griffith says he has doesn't know what other corners he can cut.

[rmusa]

I agree with gruven13777 about the prices. I haven't seen anything indicating a problem with supplies so why the hike in prices. The only reason the pices are up is GREED. Let's face it, someone knows they can make a killing right now and they are. Where are the elected officials now? That's right, they can afford these prices as well as profit from them. The only people that are getting hurt is the little guy. The elderly who can't afford the price increase and don't have the option of using a bicycle to get around and the poor who are only trying to make ends meet and the ones trying to make an honest living but have to pay more each week just to get to work where the pay check hasn't changed except to go down. Someone needs to make a stand.

[JayAdlerMusic]

Sorry to say that this is more like the beginning than the end at $4.00. Our foreign suppliers are cutting production and in economic theory, meaning supply and demand, scarcity breeds contempt. As always, when the summer driving season begins, prices will go up.I started analyzing the other day when my wife and I in our separate cars filled up to a combined total of $77.00. We live in a small area granted but everybody has to drive here.So I thought about our bill when we don't even put on 7,000 miles a year each. What are people going to do who live in New Mexico or Montana where drivers can go 200 miles a day easy. After Libya our nation got hit with these unmanageable gas prices. Then there is the debt ceiling and spending cuts and the downgrade. There is not as much time as you may think until you walk into the booth in 2012.

[hamiltongrad]

Isn't this a message that we all need to get back to walking, taking trains, bikes, we would all be better off, if we lived in small apartments, in high rised buildings, and having food being very expensive so that consumption is down. I personally want gov't to step in and give out passes for travel, to save energy, and deliver healthy foods to homes, to limit calories, and thus control the costs for all of us to share the burdens. What makes everyone want to control everytyhing ?

[jkelley761]

Sooooooooo When does the revolution start, and who is commanding? Or is this just a pointless flame war.

[PourpaixPourpaix]

This comes as a surprise to anyone? BP has massive cleanup costs, and other oil companies are using this as an excuse to bolster their reserves for accidents, now that the precedence is set. Response to big cleanup costs? Increase margins to get us to pay for it and lie like rugs so we don't realize it. Government spent too much? Increase taxes to get us to pay for it and lie like rugs so we don't realize it. And take away citizen benefits to get us to ...... What if we can't afford it? Well, too bad. Give up eating and living indoors. You certainly don't expect companies and government to suffer in the least, do you?

[alohahoya]

If this is your idea of pinching pennies...you are WAAAAAaaaay out of line!!!! The report was laughable. Are the newsprogams in touch with reality? We switched from ABC because we found Sawyer too emotional and now we will stop watching the news altogether. "World News" has become laughable!!!

Carol

[gatovato]

He cant afford to buy his kid an ice cream cone? REALLY? get the F out of here with that BS. Gas prices mean my family budget for TWO vehicles went up $30/mo. I'm still gonna buy my kid ice cream. BTW covering a guy crying in his Lexus, tacky.

[gruven13777]

No wonder this country is so screwed up. Half the people on this board want the dude's head on a stick because he drives an old Lexus.

"The story"...is about oil prices going up $35 a barrel in a month, and gas prices going up over a buck a gallon during the same time...while there is NO oil shortage...in fact there's so much oil Saudi Arabia just slashed production by a million barrels a day, because there's no place left on the planet to store it.

Hey idiots....GET IT YET?

Man, it's really mind-boggling how utterly flucking stupid this country has become.

[Wolf2510]

10yo old Lexus od not....WHO CARES!....its a LEXUS!! 50k plus car. he knew when he bought it, it needed premium gas. im betting its much newer than 10yrs. I have NO sympathy for this guy...only his daughter cause his priorities are so skewed. no one seems concerned how on earth a SECURITY guard for a public school system can even afford a car like that. Am i mad about the gas prices? YUP! Why is NO ONE calling out the oil companies here? Seems like we all accept their lame excuses. SELL THE CAR!

[slatep]

Wall Street just warned the government is headed for trouble as far as its credit ratig is concerned.

Wall Street and speculator buyers are what's driving the price of gas up.

Time to police their own neighborhood and stop these people from doing this.