Summary:
Consumers have received a huge "tax cut" in the form of lower gasoline prices, as the price of oil had fallen steeply, to its lowest point since May 2009. From a mid-2014 price of $115 per barrel, oil has plunged more than 40 percent, translating into a national average price at the pump for gasoline nearing $2 a gallon. The dramatic decline is due mostly to classic fundamentals of supply and demand, according to most analysts.
Analysis:
This article was written by John Badman of The Telegraph in January 2015. I chose to present this article this week because I have not read any articles by this author or from our APUSH resources. The article was written well with no biases. The best part about representing this article is how the economic report from 2015 is still reflecting low oil prices today. The classic fundamental of supply and demand is still reflected in gas prices of 2017.
https://hmcurrentevents.com/price-of-oil-at-five-year-low-causes-and-impacts/
The price truly does depend on supply and demand. I remember when gas was extremely high priced but now it's extremely low. It will probably continue to vary in the future.
ReplyDeleteI am very glad that the gas prices are at a such low point, however, I am quite nervous that they will continue to rise until they are unbearably high.
ReplyDeleteSince i will soon have to be buying gas, this is really good news but like sarah, i hope they don't increase!!!:(
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