How Do Gas Prices Affect The Economy

Decent Essays
"As we all know, the economy has been going up and down in recent years. Gas prices, prices on goods, and real estate have all depreciated as a direct result of the struggle within the economy. My cousin currently works for Helix Energy Solutions. She has truly seen it all in the oil industry. With her working in the industry for about twenty years, I have been able to have a better understanding of gas prices and the economy. Being a senior in high school, I still have a lot of life ahead of me, so these current issues about gas prices really affect me. My aunt has worked for three different oil companies, and survived all of the layoffs. Many oil companies are laying off employees because the price of gas has dropped. When a barrel of oil is below a certain dollar amount, cuts must be made in the work force to offset the loss of profits. To show an example, the price for a barrel of oil is currently $49.25, whereas in 2008 the price was $147.27. This drastic change has greatly influenced the U.S, especially those who work in the oil field.…show more content…
These are the workers who keep the maintenance up on the rigs in the ocean. Other offshore jobs that could be impacted include electricians, drillers, planners, and engineers. Often when layoffs start to happen, companies will go so far as to cut back on paper goods and even office supplies. Cutbacks are also a direct result of a company’s stock price. Helix Energy Solutions’ stock, currently at an all-time low, is priced at $6.44 as a direct result of downsizing and budget cuts. The expected turnaround date is projected to be
Get Access