The Commerce Department published last week the gross domestic product data for the second quarter. Both electric service and natural gas service, as a percent of personal consumption expenditures, were real low.
In the second quarter, electric service was just 1.38 percent of expenditures. This was below the second quarter of last year, when electric service was 1.45 percent. And below the second quarter of two years ago, when electric service was 1.46 percent.
We have now gone three quarters in a row in which electric service was under 1.4 percent of expenditures. The fourth quarter of 2015 was 1.37 percent. The first quarter this year was 1.34 percent. And the second quarter this year, as we said, was 1.38 percent.
When American consumers pay this low a level for their electric service, they have more money to spend on other goods and services.
In the second quarter, natural gas service was just 0.38 percent of expenditures. This was below the second quarter of last year, when gas service was 0.41 percent. And below the second quarter of two years ago, when gas service was 0.51 percent.
We have now gone four quarters in a row in which gas service was under 0.4 percent of expenditures. The third and fourth quarters of 2015 were 0.39 and 0.32 percent. The first quarter this year was 0.31 percent. And the second quarter this year, as we said, was 0.38 percent.
When American consumers pay this low a level for their gas service, just like for electric service, they have more money to spend on other goods and services.
With the price of Public Utilities Fortnightly frozen for last ten years at $24 per issue, subscribers too have more money to spend on other cool stuff.
Steve Mitnick, Editor-in-Chief, Public Utilities Fortnightly
E-mail me: mitnick@fortnightly.com
