Why Are Gasoline Prices So High?

There are many factors that have influenced the high price of gas today. But here is a simple explanation. There is a high demand for oil (from which we make gasoline) all over the world today and there is not enough oil being produced to meet this demand. So it is a high demand, low supply thing.

It is in the best interest for oil companies, business wise, to limit the supply of oil that they sell to the different countries of the world. This way they can charge more as they sell limited supplies when the demand is so high. Countries are willing to pay the high price because thay need that oil.

Although the United States and other countries possess large deposits of oil, they cannot drill for it because of political squabbling over what will happen to the environment. This has enhanced the shortage of oil supplies.

Because much of the world is developing rapidly out of third world type status, they need oil supplies as well. Their industrial capabilities are growing rapidly and oil is needed to run the machinery of industry. This has put a tremendous strain on the world's oil supplies.

The best we can do at present is learn how to save money on gasoline. This will help our own small individual situation.