Cheaper Oil: Benefits And Drawbacks

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Consumers have certainly noticed the lower gasoline prices as of late, which can be a good sign for the economy. The lower gas prices are at the pump, the more consumers tend to spend on other items such as food, entertainment, and clothing. While the price of oil from oil and gas engineering companies has been much lower per barrel in recent months, these lower prices have their fair share of pros and cons. Let's examine the good and bad aspects of falling oil prices.

The Benefits

Since the price of gasoline largely depends on the price of oil per barrel, as those prices decrease, so does the cost of gasoline per gallon. Here are the pros for lower oil prices:

The Cons

Of course, with every good sign that an economy sees, there are often a few pitfalls. Even though lower gas prices seem to be good for all, here are some of the downsides: