Falling gas prices good for drivers, bad for economy

Falling gas prices good for drivers, bad for economy


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Consumer prices are being offset by the price of gas, but there's some question over whether that's good or bad for the economy.

Wells Fargo chief economist Kelly Mathews says a drop in gas means a drop in the economy because there's less demand for it.

"If I could trade off a little bit of stability or economic strength and avoid further reductions in gasoline prices, I think that might be beneficial for our overall economy," he said.

Mathews predicts gas will rise a little but then remain stable through the year.

E-mail: cwayman@ksl.com

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