For example, when you buy a new appliance for your home, the price you pay is partly determined by how much it costs to ship it to the store. When gas prices rise, that appliance will cost more to transport, and consumers end up paying for that increase. Consumers are frustrated by the apparent randomness of the increases that occur at the pumps. Studies have shown that big oil companies do not engage in collusion to raise prices, but the timing of price increases leaves consumers scratching their heads.
There is now a companion page about The Causes and Effects of High Oil Priceswhich deals with the crude oil supply, the worldwide market, the controversy over offshore drilling, refinery capacity and many other issues.
Much has been said about high gas prices recently, starting in after Hurricane Katrina hit New Orleans and the retail price of gasoline spiked for a few weeks. But the price of gas has a number of causes and effects that aren't discussed in any great detail on TV news shows. Other than sports and weather, nothing is discussed in much detail on televisionbut that's another story.
This page represents an attempt to fill in the gaps. Radical environmentalists and their friends in the news media would have you believe that high gas prices are primarily the result of corporate greed, poor planning, and insufficient government intervention. In reality, this is a matter of supply and demand, and it is not the proper role of government to intervene.
The major causes of high gas prices include the increased demand for oil in places like China and India, high gasoline taxes, civil unrest in Venezuela, war in the Middle East, political instability in Nigeria, and too few refineries in the U.
He has choked off oil production in the Gulf of Mexico. Barack Obama wants to raise taxes on oil companies. There hasn't been an oil refinery built in the U. Alaska is floating on oil, but drilling is impeded by environmentalists, EPA red tape, and leftist politicians.
The Secretary of Energy says he wants gasoline prices to be comparable to those in Europe. State and federal taxes are a large part of the price of gas, and then there's the Federal Reserve's monetary policy, which is weakening the U.
On top of all the above, the price of gas is especially high in Californiawhere radical environmentalism and restrictive environmental laws have been promoted for decades.
And don't get your hopes up about Ethanolbecause that's not a viable solution either. It's not just gasoline: The price of everything is going up. There's a subsection about generalized inflation at the bottom of the page. The newest information is at the top of the page.
The farther down you go, the older it gets, in other words. But that might be of some interest to you if you're looking into the recent history of high gas prices. Enjoying Record Low Gas Prices? Consumers are always the ultimate beneficiaries of improved technologies, as producers are motivated to bring costs down to improve their profitability.
But competition forces those producers to continue their quest, with their consumers enjoying the fruits of their technological improvements. There was a time when the cartel had enough influence through its monopolistic advantage to influence gas prices in America.
Those days are long gone, and the only ones hurting now are members of OPEC, who are running out of patience waiting for the latest "production cut agreement" to take hold in order to force prices higher.
Gas prices to drop this fall, here's how much. Drivers could be in for a little reprieve this fall, as experts forecast gas prices could drop meaningfully from current levels. Gas Prices Are Still Low. Gasoline is getting more expensive, but it's not as bad as it could be.
Now that the world's economy is in full recovery mode, with the Trump economy leading the way, the world's demand for oil is rising strongly once again.
With oil pricing governed in large part by the age-old fundamental of supply and demand, crude oil has recovered from its historic crash of and has risen in line with the increased demand and strengthening economic activity.
These states have the highest gas prices.The higher prices spurred domestic energy production, particularly with drilling and fracking.
Fracking, especially, isn’t good for us or for the planet, but hey, it produces gas and creates jobs, so we’re all good. GasBuddy is a company that connects drivers with their Perfect Pit Stop.
As the leading source for crowdsourced, real-time fuel prices at more than , gas station convenience stores in the U.S., Canada and Australia, millions of drivers use the GasBuddy app and website every day to find gas station convenience stores based on fuel prices, location and ratings/reviews.
California routinely has some of the highest pump prices in the United States, the result of high taxes and the use of a pollution-reducing gasoline formula not sold elsewhere. Relatively new. (NBC News) — As gas prices go, has been one of the most painful years at the pump, and that's having a ripple effect.
On average, gasoline is 48 cents more per . Vancouver gas prices hit record high with no relief in sight for Canadian drivers Canadians should expect sky-high prices this summer – especially if you’re in Toronto, Montreal or Vancouver.
Alberta Premier Rachel Notley says if British Columbia wants to keep gasoline prices low it should stop opposing the Kinder Morgan oil pipeline expansion.