Why are gas prices on the rise? | Business
Gas prices are skyrocketing and Action News 5 viewers have been emailing the station wanting to know why.
While we’re used to seeing rising gas prices during the summer, prices at the pump have been rising since the fall.
The national average for regular unleaded gas is $3.07. That's up more than 35 cents from a year ago. While prices in the Mid-South aren’t quite that high, they’re also on the rise. Currently, the average price in Memphis hovering just under three dollars a gallon. And experts say prices are going to keep rising.
So why are we paying so much more?
Economists say there are a few reasons. First, countries like China and India are using more gas every year. Secondly, while it's not common in the Mid-South, many families in the North use heating oil to keep their homes warm. Thanks to the unusually cold winter, people are using more heating oil than normal.
With more demand in developing countries and here at home, that means there's less oil to go around, forcing prices up.
But WMCTV.com can help ease your pain at the pump. Click here to find the cheapest gas prices across the Mid-South.
Are you planning for higher gas prices in the coming months? Let us know what you’re doing to get ready by leaving a comment below.
Photo courtesy Flickr user chego101.