by Calculated Risk on 2/09/2023 02:11:00 PM
During the early stages of the pandemic, energy expenditures as a percentage of PCE hit an all-time low of 3.3% of PCE. Then energy expenditures increased to 2018 levels by the end of 2021.
This graph shows expenditures on energy goods and services as a percent of total personal consumption expenditures. This is one of the measures that Professor Hamilton at Econbrowser looks at to evaluate any drag on GDP from energy prices.Click on graph for larger image.
Data source: BEA.
In general, energy expenditures as a percent of PCE has been trending down for decades. The huge spikes in energy prices during the oil crisis of 1973 and 1979 are obvious. As is the increase in energy prices during the 2001 through 2008 period.