Californians Vanishing Disposable Income
Just a couple weeks ago I spent the weekend gold prospecting in the Yuma Arizona area. Every time I go to Arizona, I’m always amazed at how much lower their gasoline cost is then our gas cost here in San Diego California.
I took this picture on a Sunday on our way back home to San Diego. When I got back home, I compared the Yuma unleaded gas price to three stations that I passed by here in San Diego.
I noticed that the San Diego price of gasoline on that particular Sunday was at least $.95 a gallon more than what we paid for a gallon of gas just three hours earlier. The highest price difference that I noted was about a dollar five cents a gallon more.
Now, my no means was this a scientific survey. I’m just saying that I think this is a prime example of California’s vanishing disposable income.
Now as far as this relates to real estate, obviously o qualify for a home mortgage, lenders look at what your net income is versus your expenses. Personally, I think lenders are going to realize that Southern California residents have much less disposable income versus more affordable locations, and it may become harder to qualify for a California home mortgage.
The gasoline price difference between San Diego California and Yuma Arizona is just an obvious visual example of my contention about California vanishing disposable income.
Here in San Diego just a few months back residential water rates were approved to rise over the next several years by an astonishing 40%! Plus, already, San Diego’s electric residential rates are perhaps the highest in the country!
Okay, now let’s add in a high California income tax rate, high California city sales tax rates that are approaching 10%, all combined with a an unfriendly small business government bureaucracy.
Just in case you think I’m getting a little carried away here, just a few weeks ago I read a story that indicated that our Sacramento politicians were moving forward with ideas to implement a new tax based on how many miles you drive your car in California.
It seems to me that our politicians in Sacramento are more involved in devising new ways to tax Californians then they are in creating or modifying legislation to make the California government run more more effectively and truly be small business friendly.
CLICK HERE for Additional info on California’s proposed tax per mile plan.
It is California. Politicians took money from oil company and made favorite law for them. Special formula will reduce the number of competitors. Blow out refinery will make less supply. Increase tax on gasoline can collect more money for wasting. The California politicians also did the same thing on chicken eggs. Did you find the eggs price is unbelievable? Thanks Democrats party.
Its not the oil companies! The Democrats passed a new climate change tax last year and that added more taxes to the what was already the most taxed state for gas!
Gary Richards, democrat, doesn’t care; Jerry Brown, democrat, doesn’t care; CA Senate chair, democrat, doesn’t care, CA Assembly chair, democrat, doesn’t care; mayor of SF, democrat, doesn’t care, mayor of LA, democrat, doesn’t care.
When will you majority morons get a clue?
How come everyone forgot about SB32 and the new hidden gas taxes already? Everyone seems to forget we already pay 70 cents on the gallon before the new tax. The new tax is also a changing tax not shown as a solid cost per gallon at the pump. They sure wanted people to forget about it after they started paying it. I would bet we are actually paying close to a buck a gallon in California for tax, remember its the first tax that is based on percentage not gallons.
The California State government has absolutely no interest in low gas prices. They want high prices to make hybrids, and EV’s look more attractive.
They also need the sheeple to think it’s not their fault.
Born and raised in OC my entire life. I moved out of California to Arizona in 2009. Never been more happy. My house is paid completely. I don’t anyone in my family that can say that back in CA. My bills pretty much don’t exist. My food prices are lower, gas prices are well beyond a buck cheaper per gallon. Weather is better than California from October to May.. Property taxes here in Phoenix are well under 1000 a year, my mother in law pays over 5 grand. Only thing California has is cooler Summers.. But staying at my mother in laws house in Anaheim the last 2 summers I was dying when it hit 100 because she doesn’t have AC.
Anyone who stays in California… May god be with you
There are a few other factors impacted by the CA blend requirements which are still applicable to modern engines and fuel systems. Standards could certainly be relaxed in most areas – I’d really only be concerned about the LA basin and SF Bay for a CA specific standard. Even there, if it were not for CARB’s passion for staking out their own little fiefdom, they could coordinate with the EPA and other state agencies to match blends with other urban areas.
One thing is for sure: there is no reason at all – and never was – for 90% of the state (by geographic area) to have CARB RFG forced onto them. This kind of crap from navel gazing urbanites is why half the state wants to secede.
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At their worst, government adds between 60 and 80 cents per gallon (18.4 cents are Federal). Taxes are my first go-to for gas price inflation, but the supply problem is also exacerbated here in California. We need to build more refineries, and eliminate the absurd “blends” that have contributed absolutely zero to controlling air pollution.