Possible Gas Price Stimulus Checks on the Way
This morning oil prices are slightly up from yesterday as the suspense around the EU meeting this week continues to linger. Adding to bullish prices, the US government is considering a gas price stimulus check to relieve pain at the pump. If this were to happen, it would certainly relieve some of the pressure Americans face at the pump as they try to navigate these times of higher prices.
This week the House Democrats have introduced a series of three new bill proposals that would send direct payments to American citizens to help them deal with the rising price of gasoline. While the average of gasoline was much higher just a few weeks ago, the nation is still learning how to deal with these prices as many have begun traveling back and forth to work and vacation. Some are considering these new gas stimulus proposals similar to the one Americans saw last year when $1,400 checks were mailed out to help those during the COVID-19 pandemic.
Declining retail gasoline prices are directly related to crude oil being lower than the historic levels we saw just a couple of weeks ago. If the prices remain high, gasoline demand may fall. One proposal for a gas stimulus would be called an energy rebate. In this rebate, $100 per month would be sent to individuals, $200 to couples, plus $100 for each dependent. Payments would be distributed to Americans based on their income brackets and would be the same as the 2021 stimulus checks. According to some members of the House, this proposed solution would last as long as the national average is above $4/gallon.
These proposed new bills for aiding Americans during these challenging times would be helpful, but now people want to know how it would be paid. Unfortunately, given how fresh of an idea this is in the House, nobody has developed a structured plan for getting funding. These ideas proposed by members of Congress would undoubtedly help Americans feel better moving forward, but nothing will get done unless a funding agreement can be reached.
This article is part of Daily Market News & Insights
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