I just saw today on TV..it has been an extra cold winter, but when it is done..gas prices will LOWER..even if there is a war..
I'd love to think gas will lower cuz it seems like I'm going to the gas station every 2 days! However, I disagree wit ya...I believe prices will rise again before they come down......mark my words.
Prices have gone up due to a threat of war in Iraq and also a drop in crude oil production in Venezuela. Crude oil accounts for 40% of the price in gasoline. Because of the threat of war and what that would mean to the world oil supply, companies have been purchasing oil supply like crazy. All of this buying and buying has caused prices to rise.
Since Venezuelan oil production is getting better we are hearing on the news that gas prices may even out-but California is different than other states. Because Cali has such strict environmental standards for gas, supply is limited. That's why California gas is really suceptible to price increases. Thats also why Californians are paying the most out of any state.
Also, summer time brings higher gas prices due to the demand that vacations and road trips create. But overall, the most important factor is the price of crude oil in the world market.
I'm not tryna be a big fuckin nerd, but this is what I study in school homie...... Prices, price elasticity, investing, world markets, and the economy. I'm a finance major.... although sometimes I wonder why the fuck I chose this....
Miss Tiza