The Decrease in Gas Prices

The Decrease in Gas Prices

Ansony Kim, Reporter

Gas prices are finally decreasing! The AAA (American Automobile Association) said “the prices at the pump are the lowest they have been in nearly four years; in most of the country that’s under $3.” According to the Automobile Association, prices are expected to drop another further by another $.15.

According to the Oil Price Information Service, about two-thirds of the stations nationwide are now charging $3 or less for a gallon of regular gasoline. The national average has dropped down to $3.02 a gallon, and surprisingly twenty states have an average below $3. New York currently has the highest gas prices with an average of $3.37, while South Carolina and Tennessee has the lowest with an average of $2.75.

The main reason gas prices have decreased is because the US oil production has increased. The US oil production is the highest it’s been in 27 years. Demand for gas has also weakened thanks to more fuel-efficient vehicles. The slowing of economic growth in China has also been a contributing factor because most of our supply comes from them.

The typical American household will now save about $50 a month. The drop from last year’s average, $3.51 per gallon, will save the economy $187 million a day and will boost the profits of shippers, airlines, and any company that sends employees out on sales calls or for deliveries.

So enjoy the gas prices because we never know when it is going to be this low again!