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The American Energy Consumer







could easily become so. They have few accumulated assets, and many have no pension to look forward to except social security.

Do these families have different patterns of fuel use? The answer is "yes," as the previous discussion has shown. The lower-middle-income group compared to the upper middle and well off generally have less money and are more conserving of fuel regardless of the kind of dwelling they have. Their homes are truly modest, with only a few more conveniences than those of the poor. In all climates, they use less energy than average.

This group—about two-fifths of all households—is the largest segment of all households and all workers. Their lives are disadvantaged by accepted American standards. For instance, they have fewer cars than the average, they travel less for pleasure, but they use their cars as much as the average since they must often drive considerable distances to and from work.

From evidence about their housing also, the rising concern about households below the comfortable middle appears justified. Although they practice the work ethic and the frugality of "waste not, want not," lower middle income households have not acquired the solid security that produces the levels of consumption that many call the American way of life.

DIFFERENT KINDS OF HOUSEHOLDS AND ENERGY USE

Households differ widely. One household is a single individual, another a family with or without children, a third several adults sharing a home. Some households have only one earner, others have two or more (the latter usually including a working wife). Some households are headed by a college educated professional, others by someone who did not complete high school. Some own; some rent.

Whatever the characteristic, if the household is well off, it uses about twice the energy of a poor household with the same characteristic. The amount varies somewhat of course; but there is no question that the well off use more energy than other households and that the poor use the least. This is true of households with one earner, of households with heads under 45, of households with a college educated head, and of households who own their own homes. (For details, see Table 5-24.)

RISING ENERGY PRICES

Energy prices rose sharply during 1973-74, the year of the "energy crisis." What is not generally realized is that energy prices already were rising steeply before that. Between May 1969 and May 1974, consumer prices for each of the fuels (electricity, natural gas, fuel oil, and gasoline) increased more than for any other major item in the Consumer Price Index, except food (Table 5-25). The increases were 40 percent for electricity and gas, 58 percent for gasoline, and a whopping