Rising Gas Prices Give G.O.P. Issue to Attack Obama

White House officials are preparing for Republicans to use consumer angst about the cost of oil and gas to condemn his energy programs and buttress their argument that his economic policies are not working.

In a closed-door meeting last week, Speaker John A. Boehner instructed fellow Republicans to embrace the gas-pump anger they find among their constituents when they return to their districts for the Presidents’ Day recess.

“This debate is a debate we want to have,” Mr. Boehner told his conference on Wednesday, according to a Republican aide who was present. “It was reported this week that we’ll soon see $4-a-gallon gas prices. Maybe higher. Certainly, this summer will see the highest gas prices in years. Your constituents saw those reports, and they’ll be talking about it.”

Iran’s recent warnings of a disruption in the global oil trade have pushed the price of a barrel of domestic oil to more than $103, a six-month high and up about 34 percent since September. That has helped drive the average price of a gallon of regular gasoline in the United States to $3.52, a 30-cent increase in the past two months. It is already approaching $4 in some places.

Economists say the current price of oil is only a modest drag on the economy. But a big jump — combined with tensions over Iran and continuing European debt worries — could present a more significant challenge to America’s recovery, they say.

For the president’s economic team, the specter of such increases in oil prices comes on the heels of positive economic news that has lifted Mr. Obama’s approval rating, including better-than-expected job growth, a surging stock market and a payroll tax deal that will put more money in the pockets of millions of Americans.

But Mr. Boehner’s message to his members echoes the aggressive talk coming from the Republican campaign trail, where the men vying for the right to challenge Mr. Obama are increasingly blaming Mr. Obama’s administration for rising gas prices. A gallon of gas had dropped to $1.89 when Mr. Obama took office in 2009, in large part because of the fall in oil demand caused by the financial crisis, and has almost doubled since.

“They want higher energy prices. They want to push their radical agenda on the public,” Rick Santorum said at a campaign event last week, accusing Democrats of pushing alternatives to oil. “We need a president who is on the side of affordable energy.”

Newt Gingrich wrote on Twitter on Friday that “gasoline prices are unacceptable. We can do better!” He urged his supporters to sign a petition on his Web site calling for a return to $2.50-a-gallon gas. “Drill here. Drill now. Pay less,” the petition says.

And talking points from the Republican National Committee that go out to conservative commentators every Friday often include rising gas prices among the “Top Line Messaging” for the week. A recent “Pundit Prep” document cited the national debt, unemployment and the price of gas as the three best ways to define the “Obama economy.”

The president’s political advisers are bracing for battle as they envision the price of gas rising steadily through the summer, as it usually does. As the president’s motorcade whisked him through scenic Orange County on Thursday on the way to a California fund-raiser, one sign held by a protester read, “Gas prices up 91 percent under Obama.”

Aides say they know the attacks are inevitable. But they also say they are prepared to respond forcefully with a defense of the president’s energy policies and a critique of the Republican line.

“The president is keenly aware of the impact that higher gas prices have on families trying to make ends meet,” Jay Carney, the White House press secretary, said last week.

For Mr. Obama’s economic team, the increase in oil prices is an unwelcome reminder of how global events largely outside their control can hamper a recovery. For the third year in a row, a modest recovery faces head winds as winter turns to spring.

In the spring of 2010, debt crises in Europe, slowing stimulus spending and weakness in the housing market brought an abrupt halt to a brief turnaround in the United States economy. A year later, turmoil in the Middle East, the earthquake and tsunami in Japan and more debt problems in Europe did the same. Now, rising gasoline prices, concern over tensions with Iran and, once again, European debt are causing worries.

Binyamin Appelbaum and Annie Lowrey contributed reporting.

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The Choice Blog: Current College Students Struggle to Survive Rising Tuitions

San Francisco State UniversityReaction to another tuition increase at San Francisco State was so intense that the university is helping students sound off on its Student Voices Web site.

Tuition rates can be prohibitive. Prospective students know this and plan their academic careers accordingly.

What students may not consider, however, are the costs that can keep them from graduating once they’re enrolled: tuition increases.

The costs seem to keep rising every semester for students like Rebekah Phillips, a sophomore at San Francisco State University.

“My brain didn’t even go there,” Rebekah said as she recalled her college-application experience. “Honestly, the only thing I thought about was getting in.”

Now, Rebekah is working two jobs to keep pace with her expenses. She’s not sure how she’ll survive in the fall, when tuition may rise again, by 9.3 percent.

Instead of considering only tuition when choosing a college, prospective students would be wise to research a school’s history of tuition increases, said Shawn Whalen, the deputy chief of staff of San Francisco State, which faces a fee increase in the fall if state funding is reduced.

“The students planned for college and got here on one set of financial assumptions, only to find out that the game changes every year,” Mr. Whalen said. “I think one of the biggest shocks is when students come in as freshmen and a semester later there’s a fee increase.”

Parents who have been laid off or are facing foreclosures have had a particularly tough time helping their children get through college when the costs go up, he said.

“These are not students, by and large, who are saying, ‘Poor me.’ The No. 1 theme is, ‘You are killing my parents.’ You can tell when you read their stories that every dollar counts.”

Reaction to another tuition increase at San Francisco State was so intense that the university is helping students sound off on its Student Voices Web site. Administrators hope that California legislators will read the responses and, perhaps, reconsider the cuts to education funding that prompt public universities to increase tuition rates.

We thought our readers at The Choice would like to know how tuition increases are affecting students in real time. Here are some anecdotes from Student Voices:

The tuition increase has made it difficult to graduate on time. With all of the cuts and lack of funding, it is hard to get into classes that I need for my major, which means that I have to stay in school longer in order to finish my degree. Every semester is more expensive than the last, with no guarantee of classes. How is this a positive learning environment when we’re paying more for less classes, resources or support? — Natalie T., 23 Folsom, CA

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Going to college has always been my goal in life. Once I was accepted to San Francisco State, it was a bittersweet feeling. I was ecstatic to have the opportunity to go to a wonderful university. On the other hand, I knew my family and I could not afford it. Like many other students in California, I had to take out three loans in order to study. Even choosing the least expensive options, I know I will be paying off my loans for many, many years after I graduate. When I found out that tuition fees increased, I began to lose hope. I was planning on toughing out the four years until I got my degree and paying off all of my loans, including my parent loan because my parents cannot afford it either. However, now that fees have increased in the past year and are planning to increase in the future, I am almost forced into leaving my dream school, San Francisco State University, to go back home and attend a community college because there is just no way my family and I can afford to send me through school at this rate. Even working two jobs and doing any service work I can get, I can only afford to pay not even half of one years fees at SFSU. I do not want to risk my future, and all the hard work I’ve put into the past to getting where I am now, just because I cannot afford to go to school. This is a sad change of plans for all of my future aspirations. — Monica R., 18

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I am a first generation college student and will be the first college graduate in my family in over four generations on either side of my family. Budget cuts have greatly impacted me. I am a transfer student to San Francisco State University. I had to go to community college in order to work and support my family. We are a low income family and I am the oldest of three sons. My father works 12-14 hour days 7 days a week, and my mother is chronically ill and unable to work. It is necessary for me to work not only to put myself through college, but also to help support my family. The rising tuition costs have not been counterbalanced by increased course offerings. Since it is necessary for me to work to survive, even though I am a financial aid recipient, I find myself making hard decisions. I find my job security threatened because all of the classes I need to take for my major are not offered at times that I am able to take them. I am in a hard position, having to choose between furthering my education and following my family’s dream of me completing college, and having to deal with the present reality of having to work. — Dennis H., 23

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Rebekah is paying her own way through school. She works as a nanny and a has a job at Staples. She uses student loans to pay the rest, she said. But if tuition goes up again, she is worried that she will not have enough money to stay in school.

“Tuition itself is not bad. It’s just when you bring in the future, which I didn’t account for. I didn’t account for any of the tuition hikes at all,” Rebekah said. “Right now, I’m trying to apply for as many scholarships as I can. I can fall behind on the books a little bit. But I need to find $600 for tuition.”

Mr. Whalen suggests that prospective students establish a financial plan that assumes a tuition-rate increase during their college years. Families should also research the education funding trends of their state.

“See what kind of tuition increases they’ve experienced. If you’re looking at a state that has huge budget deficits in the coming years, you can expect that it’s going to fall on the backs of students,” Mr. Whalen said. “Joining with the current students who are fighting tuition hikes is the best thing. It tells legislators that the traditional view of students who are young, and flexible, and resilient, is not the case.”

What financial planning, if any, did you make during your college application process? Did you consider tuition rate increases? Let us know your thoughts in the comment box below.

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