Seven in Ten Americans Hurt by Gas Prices

GALLUP NEWS SERVICE

PRINCETON, NJ -- As the price of oil temporarily surged above $70 a barrel in the wake of Hurricane Katrina, a new CNN/USA Today/Gallup survey, conducted Aug. 28-30, finds that rising gas prices are already negatively affecting most Americans. About 7 in 10 report suffering hardship from higher gas prices, with widespread expectations that prices will rise even higher during the next year.

More people blame the oil companies than the politicians in Washington for the higher prices, although a substantial number of people also blame the Bush administration and to a lesser extent the Republican and Democratic members of Congress. Only 20% of Americans approve of the way President George W. Bush has handled the issue.

The poll was conducted before Bush said that he would consider releasing oil from the nation's Strategic Petroleum Reserve, a policy officially announced Aug. 31 by the U.S. Department of Energy. While the action caused a drop in crude oil prices that same day, wholesale fuel prices continued to rise in afternoon trading.

According to the poll, 69% of Americans say they have experienced a hardship because of rising gas prices, including 18% who say it is a "severe" hardship that affects their "ability to maintain [their] current standard of living."

Expectations are for a continuing increase in prices. The average price people report paying for a gallon of gas these days is $2.65, while the average expectation for the price of gas one year from now is $3.16 -- a 51 cent per gallon increase.

Political Fallout

The poll shows that more people blame the U.S. oil companies than blame politicians, with 54% of Americans saying the oil companies are to blame a "great deal," and another 30% saying a "moderate amount."

Still, 63% of Americans blame the Bush administration either a great deal or moderate amount, while 57% blame congressional Republicans. Fewer Americans assign blame to congressional Democrats (46%).

How much do you blame each of the following for the recent increase in gasoline prices -- a great deal, a moderate amount, not much, or not at all? How about -- [RANDOM ORDER]?

Bush's approval rating on handling the issue is down seven percentage points from May 2005, when it was at 27%. Bush's rating on gas prices is by far the lowest approval rating on the issues measured in the poll. Bush scores best on his handling of terrorism, with a 53% approval rating. On all other issues, a majority of Americans disapprove of Bush's performance.

Do you approve or disapprove of the way George W. Bush is handling -- [RANDOM ORDER]?

Bush's overall job approval rating is 45%, up from 40% a week ago, which was the lowest rating of his presidency. An analysis of the ratings over the three-day interviewing period shows a slight increase in support for the president after Hurricane Katrina struck some of the Gulf Coast states. It is not unusual for presidents to experience an increase in public support following national tragedies.

Gas Prices and New Cars

Most Americans (75%) say that when they buy or lease their next vehicle, gas mileage will be a more important consideration for them than it was in the past.

When you buy or lease your next vehicle, will the car's gas mileage be a more important consideration for you than it has been in the past, or will it not be any more important to you?

Only a bare majority, 55%, would consider purchasing a gas-electric hybrid vehicle. Still, interest is strong among this group of people. Most of those who would consider a hybrid also say they would make the purchase even if it cost $3,000 more than the "standard model of the same vehicle." The devoted hybrid respondents represent 45% of all Americans.

Suppose you were going to buy a new vehicle. Would you seriously consider buying a car or SUV that is a gas-electric hybrid, or not? If the hybrid vehicle cost $3,000 more than the standard model of the same vehicle, would you still seriously consider buying it, or not?

Survey Methods

Results are based on telephone interviews with 1,007 national adults, aged 18 and older, conducted Aug. 28-30, 2005. For results based on the total sample of national adults, one can say with 95% confidence that the maximum margin of sampling error is ±3 percentage points.

For results based on the 507 national adults in the Form A half-sample and 500 national adults in the Form B half-sample, the maximum margins of sampling error are ±5 percentage points.

In addition to sampling error, question wording and practical difficulties in conducting surveys can introduce error or bias into the findings of public opinion polls.