bobquasit: (Default)
bobquasit ([personal profile] bobquasit) wrote2006-06-06 10:19 am

US Gas

I'm home sick today; nothing life-threatening, but I'm uncomfortable. But I couldn't resist responding to [livejournal.com profile] nakedfaery's recent comment about the price of gas in the UK, compared to the price in the USA. My response was so long that it might as well be a post of its own.
This is funny, because it reminds me of part of Twain's "A Connecticut Yankee In King Arthur's Court". I also had this exact same conversation with another Brit here a while ago - correction, it was a Finn.

Here's the thing: you're right that you pay more for gas. But that is more than offset by a number of factors.

1. We pay far more for health care.

2. There are many other services which we pay for that you don't, or that you pay a much lower rate for thanks to government subsidy. Daycare, for example. It costs us $500 to $1,000 per month. We pay over $500 per month for Sebastian to go to daycare three days a week.

3. Usury laws have been abolished in the United States, and credit card companies are virtually unregulated. That means that if you have a credit card (and almost everyone does - you wouldn't BELIEVE the number of credit card offers we receive in the mail every week), odds are that you're paying 25% or more on your money. And there are many hidden fees which make the effective rate even higher.

But many Americans are actually paying rates of over SIX HUNDRED PERCENT at the many "paycheck loan" shops across the country. That sounds unbelievable, but it's true; I can get you some sources on that, if you'd like. It's also completely legal in this country. Of course the people who go to those shops are living paycheck-to-paycheck, which is extremely common here.

4. We are far more dependent on our cars, for two reasons: one is that America is much bigger, and except in the cities, things are much more spread out. For example, I have to drive ten miles every day just to get to the nearest train station, and I live 60 miles from where I work.

The other reason we have to drive so much is that the big oil companies successfully influenced Congress in the early-to-mid 20th century to virtually abolish the American light inter-city rail system. At the same time our extensive national highway system was built. This was done, of course, to force Americans to drive more and use more oil - and sell more cars, I suppose.

I'm actually LUCKY to have a train station only 10 miles from my residence. The vast majority of Americans have no such luck. And it should be noted that the Bush administration was actually attempting to dismantle much of our remaining rail system until recently; I suspect that they may have had to give up on that due to the fuel situation. My father-in-law, who's a transportation broker, tells me that a LOT of shipping which was formerly traveling by truck is now going by rail, instead. But the rail option isn't available for much of the country.

Speaking of the trains, those are costing more, too. My monthly train pass is $181. That rate has been raised three times in the last six years, and it's going to be going up again on next January 1st - by 25%. The governing board has made no secret of the fact that additional increases will be coming soon. That's partly because both the federal and state governments have privatized the rail system; it's not subsidized, as I'm sure yours is.

Even parking costs are going up. If you want to park for the train, you have no choice but to use one of the official lots; most parking spaces within walking distance of the station (and most stations) are metered, and the maximum parking time is often only two or three hours. Fail to pay the meter or exceed your time, and you get a ticket costing anywhere from $25 to $60. The official lots cost $2 per day (although they may have gone up to $2.50; I can't remember), and the price is going to be going up again soon.

The American economy is utterly dependent on artificially cheap fuel. This continuing increase is effectively going to destroy it, starting with the poor and middle class - which have already been put under unprecedented pressure.

Sorry to have gone on so long. I think I'll make this a stand-alone post, too.

Feel free to pass this around to your non-USAn friends.

[identity profile] fickledame.livejournal.com 2006-06-06 03:19 pm (UTC)(link)
1. Possibly, but we do pay for our national health service in taxes. It is not a free service. We pay a high income tax, which looking at charts, seems to be a lot higher than yours. We also pay VAT on every item, which is a hell of a lot more than what you pay.

2. We pay for childcare, and while in some cases, like if you are in full time education, it's paid for, for everyone else - no chance. And it's incredibly expensive.

4. Yes, America is bigger, but there are plenty of people dependant on cars here as well. We have just as much problems with our railservice - and it's a very expensive service, and many people live in the countryside, with no form of public transport. Parking at the station costs at least £3 a day ($5.58). Many people work in London, and the price for a daily travel pass a year is around £4000 ($7,443.03).

Our housing prices are appalling. In London, the average cost of a detached house is £466,011 ($866,718) and in the UK in general seems to be £208,435 ($387,662.99). The average house in the US is around £99,411.55 ($185000).

We pay a lot more for our individual goods. We often pay around the same amount for goods, like, £10 here and $10 there, but that means we are paying a lot more for it. Which is why when people in the UK go to the US, they buy shit loads of CDs, DVDs etc. Your electrial goods seem to be a damn sight cheaper as well, as well as food.

People in America are not hard done by.

[identity profile] fickledame.livejournal.com 2006-06-06 03:25 pm (UTC)(link)
Our rail system was privatised in the 1980's.

Many people live paycheque to paycheque here as well, poverty is very common. People think the welfare system means there are no people in poverty, but it's completely rubbish.
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[identity profile] fickledame.livejournal.com 2006-06-10 10:56 pm (UTC)(link)
Not saying you don't, I'm just saying it's hardly a woe-is-me-to-be-American situation.