For example, in 2000, the average gas price was over $1.50 per gallon more than in 2008. Despite the high gas price, many people continue to rely on their vehicles as their main mode of transportation. Deep pockets are also needed in a few countries where weak government or trade structures have led to a hike in prices, like in the Central African Republic. According to website Global Petrol Prices, all three nations were already paying between $4.76 and $5.42 for a gallon. Keep in mind, the summer travel season is just getting underway, which means months of high gasoline demand lie ahead.
The price at the pump has bounced up and down often since the 2008 recession. GOBankingRates’ editorial team is it possible to see the growth of bitcoin is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services – our reviews and ratings are not influenced by advertisers.
- We use data-driven methodologies to evaluate financial products and services – our reviews and ratings are not influenced by advertisers.
- At the same time, if there are just two gas stations, the competition is comparatively low.
- The most expensive county for gas is Mono County, which borders Nevada and includes the tourist destination Mammoth Mountain.
- Have you ever thought about why the gas price in your state is different from the price in other states?
- Moreover, the gas price probably rises in the peak summer and spring because it’s the travel season, and the gas is more likely to evaporate.
Questions Around The Economy
China built more than 80,000 miles of interprovincial highway in 2020. On the other hand, the U.S. has 47,000 miles of interstate highway. These numbers indicate that more people would drive vehicles and use gasoline, thus increasing the price of those specific areas. Have you ever thought about why the gas price in your state is different from the price in other states? Here we will tell you about the 6 factors that often push the gas price up or down. The fuel-savings app GasBuddy projects prices will probably average $4.25 in May and stay over $4 until November.
The national average state tax for gasoline is 31.67 cents per gallon. Moreover, the prices also depend on the location of gas stations. If there are multiple gas stations in a single area, the competition becomes very high.
Average US Gas Prices in Each State
According to the US Energy Information Administration, the highest gas price was recorded on July 16, 2008, reaching $4.10 USD per gallon. But, this was not a global high – gas prices were much higher in some countries. The highest gas price ever recorded was in Venezuela, where it reached $7.50 per gallon in 2013. However, with the current global oil prices, it is unlikely that gas prices will reach these levels again in the near future. Sales taxes and taxes applied by municipal or local governments can also affect the price of gas.
How Gas Prices Compare Around the World
Gas prices tend to increase in the spring and summer. People drive more during warmer weather, so the demand is higher. The highest average gas price was $3.64 in 2012, which is 167% more expensive than a decade earlier. In 2008, the average gas price was about $3.50 per gallon. Although this price is much higher than the current average gas price, how to issue corporate bonds 2020 it is significantly lower than in previous years.
You can read more about our editorial guidelines and our products and services review methodology. GOBankingRates works with many financial advertisers to showcase their products and services to our audiences. These brands compensate us to advertise their products in ads across our site. This compensation may impact how and where products appear on this site. We are not a comparison-tool and these offers do not represent all available deposit, investment, loan or credit products. This is 0.24 more per gallon than the average price of regular gas.
Published June 7, 2022
As of Tuesday morning, 28 states have average prices over $4. Only five states – South Dakota, Kansas, Missouri, Oklahoma and Arkansas – averaged less than $3.80. Some gas locations reported prices about $2 over the state average. Stations in Los Angeles and San Francisco sell regular gas for more than $6 per gallon, some reaching nearly $7.
One of the main components of the rising costs is the invasion of Ukraine by Russian armed forces. Tom Kloza, chief global analyst for the Oil Price Information Service, told USA TODAY that Russia is the second-largest oil producer in the world, behind the United States. The cost for diesel is nearing the record of $4.84, also set in July 2008. The price for a gallon of diesel is $4.75, more than double what it was in October 2020. Still, the EIA predicted that the average U.S. household would spend roughly $450 more for gas in 2022 compared to 2021, on an inflation-adjusted basis. However, remember the following things while calculating the gas price.
The price you pay for gasoline is determined by crude oil. This type of oil is easy to refine because it contains very few impurities. Heavy or thick oil has a massive amount of pollutants.
Therefore, it is challenging to get refined as well. Typically, gas costs less during the winter months when drivers are less likely to be on the road. Similarly, prices tend components of a back-office system for forex brokers in 2024 to rise during the spring and summer months when more drivers are on the road. Winter months usually have lower gas prices since people tend to drive less due to the poor road conditions. Gas is also cheaper for refiners because they don’t have to worry about evaporation.
However, there has been a slight decrease in the average price from 2018 to 2021. The states with the highest average prices in 2021 are currently Hawaii at $0.60/eGallon and California at $0.58/eGallon. Over the last few years, the world’s population has increased dramatically. The more people, the more likely they drive cars and trucks, so more gasoline is required. Since sweet/light crude oil is hard to access, you’ll notice its price to be high. On the other hand, sour/heavy oil is globally available, so its price is much lower than sweet/light crude oil.
You can also call it the annual product or service price growth. Inflation and gas price have a directly proportional relationship, So when one rises, it also leads the other to increase. As of Tuesday morning, the average national price for a gallon of regular gasoline touched $4.17, according to AAA, the highest price ever, not accounting for inflation. That was up from $4.07 on Monday and $3.61 a week earlier. Furthermore, in the first quarter of 2022, the percentage of disposable income after taxes that people spent on gasoline (with inflation in the mix) averaged 2.6%, the report said.