How Long Will Gas Prices Decline?

Written by Benett Kessler

Wednesday, 13 August 2008

Gas prices may have fallen, but consumers feel like they have fallen down the rabbit hole and might shoot back out and up.  The latest report from the Auto Club says that the statewide average price for a gallon of regular unleaded gasoline is down a whopping 41 cents since last month.     Why?  The Auto Club believes that prices continue to fall thanks to consumers conserving fuel and the strengthening U.S. dollar.  Their survey also says that  European demand for gas has dropped and bad weather has not adversely impacted oil production.  The national average sits at $3.80 per gallon of regular unleaded.     Locally, we pay more than that.  In Mammoth Lakes the same gallon goes for $4.69.  In Bishop and the Owens Valley, regular unleaded costs $4.32 on the low end and $4.49 on the high end.     Of course, the other factor - the price of crude oil  That has dropped down to a 14-week low at $114 per barrel.  The Auto Club does note that gas prices could go up slightly around the Labor Day holiday - a tradition.     And, while some have made political jokes out of the idea of keeping tires inflated to save gas.  Looks like it's no wisecrack.  The Department of Energy website states that you can improve your gas mileage by around 3.3% by keeping your tires inflated to the proper pressure.     The current Administration says we will gain 1% to 2% of oil by drilling offshore. Looks like properly inflated tires would add up to a lot of oil if most motorists complied. Comments (1) Subscribe to this comment's feed David A. Wright said:   I lived in Big Pine many years but have recently moved to Winnemucca, Nevada. On August 14th, I came down to Bishop and Big Pine and paid $4.36 at Manor Market Shell before heading home to Winnemucca. That morning, here in Winnemucca, I paid $3.68 for Maverick gas, a small regional chain. August 24, 2008 Write comment Show/Hide comment form Name Email Comment Write the displayed characters Add Comment