It's the biggest gasoline price decline on record... Gas fell an average of 33 cents in just one week. But the drastic drop in gas prices leads many to wonder if other things in our daily lives will start to cost less too.
It's a simple law of nature... What goes up, must come down. But, as we'll see in this week's ConsumerWatch 10, it's apparently not a law of economics.. In this case, what goes up, stays up. Recall the scene just five months ago... Oil was at an all time high and industries like airlines and food raised prices to compensate. Fast forward to today.... Oil closed at just under $79 a barrel, but those high prices aren't following suit. In fact, not only are they not dropping, but, "Food prices are actually going up," says WT Economics Professor Dr. Duane Rosa. Like most things these days, it's can be traced back to Wall Street. "Producers and suppliers are having to cut back their employment, so that's gonna raise the costs."