Gas prices today are ABSOLUTELY ridiculous!! I keep hearing that it's high demand, then I hear that it's the War in Iraq. What do you think the cause is for this ridiculously high gas prices? I mean, I remember the good ol' days when gas prices were around 99 cents/1.09 per gallon....
2006-06-19 12:43:36 · 7 answers · asked by Kerra L 2 in News & Events ➔ Current Events
It is because of short supply and increased demand, if you want the basic answer. If you look at what you pay today versus what you paid in 1988 you would be surprised. Gas today is CHEAPER than it was in 1988 by a LOT. If the dollar in 1988 were worth exactly what it is worth today, then today in 1988 you would be paying $3.11/gallon whereas today you are paying $2.71/gallon. That's $0.40 more a gallon.
2006-06-19 12:47:58 · answer #1 · answered by cyanne2ak 7 · 1⤊ 1⤋
Some people think that the reason gasoline is so expected is because there is a limited supply and thus the higher prices. This is not true. We have vast amounts of oil available - but what has changed is the addition of new major consumers. In particular, we have China and India that are advancing and becoming major consumers of oil products.
These countries are no longer third world powers - but are rapidly growing and developing. More people there have cars and consumption is rapidly increasing.
We have been spoiled with gas at 99 cents ( 2-3 years ago). Even when we were paying 99 cents, countries in Europe were paying $3-4.00 a gallon. You can expect to continue to pay $3.00 a gallon and not have gas prices go down. There may be some fluxuation of prices - but don't expect any long-term drops in prices.
2006-06-19 16:18:00 · answer #2 · answered by Coach D. 4 · 0⤊ 1⤋
Gas really is not that expensive. America currently has some of the cheapest gas prices. In europe they pay $4-5 per gallon. People have no problem paying $1.50 for 20oz. of water, which there is an abundant amount of freshwater left on earth, but yet $3.00 for GALLON of gas is too much?
2006-06-21 17:14:36 · answer #3 · answered by Anonymous · 3⤊ 1⤋
The gas prices are high because we import our gas from the OPEC countries and they sell it to us at very high prices for political reasons or whatever... yeah the regular of lik 1.09 per/gal is now 3.09 per/gal!
2006-06-19 12:48:39 · answer #4 · answered by XXX 2 · 0⤊ 0⤋
Increased demand, limited supply -- a basic law of economics. China is buying more oil and that, among other things, has drastically increased demand.
2006-06-19 12:49:26 · answer #5 · answered by Rad 2 · 0⤊ 0⤋
due to the americans upper politicans $%#&^*ready for war any time specially with oil providing countries, i guess u'll agree with me ?
2006-06-19 13:45:49 · answer #6 · answered by saf_abd1234 2 · 0⤊ 0⤋
thanks Bush and the war i'm paying$1.46 a litre.
2006-06-19 12:48:13 · answer #7 · answered by Anonymous · 1⤊ 1⤋