Stretching the dollar has replaced recreation as the American family's pastime. In an economy soured by a volatile stock market and mortgage lender meltdowns, two-paycheck families are busting the budget on necessities.
Even conservative spenders are growing weary. During a recent small group discussion, a mother of three held back tears as she described the effects of the dollar's weakening buying power.
She and her husband both work and have been steadily employed for the last twenty years. Three years ago, they felt financially secure. They could afford to eat out occasionally or shop at the mall. They bought into a timeshare in Florida.
Now they"re struggling. A comparison shopper, the woman said her monthly grocery bills have almost doubled. Spikes in gasoline prices have her husband looking for part-time work because he drives a daily 60-mile round trip to work. There's no talk of a summer vacation this year.
She's not alone. Whether a household has one or four members, the double-digit rate rise in the cost of groceries this year is eating up discretionary spending, boston.com writer Robert Gavin says.
Milk prices averaged a 26 percent increase, he reports, and egg prices jumped 40 percent. Even an ordinary red apple costs over $1, and unanticipated low crop yields in the fall harvest will raise commodity prices.
Gavin acknowledged that paying for a fill-up remains a shock, but said that rising food costs could eventually have more of an impact on a budget because families typically spend three times more on food than gasoline.
That's not to say the increase in gasoline prices the past two years isn't hurting consumers. Last week, a gallon of low-grade gasoline cost $3.69 in central Illinois. Hurricane Ike's approach before landfall boosted the price to $4 per gallon in a matter of hours.
Critics say the surge in gasoline costs has created a "green" attitude Americans should have adopted years ago.
