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Falling gas prices may boost the U.S. economy
Falling gas prices may boost the U.S. economy

For the first time in four years, Los Angeles drivers are paying less than $3 on average for a gallon of gasoline, part of a nationwide free-fall in fuel prices that could provide a substantial boost to the economy. Because they're spending less at the pump, Americans are expected to shell out more on holiday gifts, parties and travel this year. Airlines are projected to pass some of their fuel savings along to consumers next year. Businesses with previously hefty fuel bills may find room now to lower prices or increase wages. "It's a big plus for the economy," said Mark Zandi, chief economist at Moody's Analytics. If gas prices stay low, Zandi estimated that...

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