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Gas prices have gone up lately because the government needs more money.
On the supply side there are a limited number of oil producers and a limited number of refineries. The demand for oil and gasoline is relatively constant if economic activity is constant.
If any of the major oil producers decreases its production (Iraq during the Gulf War for example) then the supply of oil decreases and the market price will increase. The amount of the increase depends on the ability of other producers to increase their supply (as Saudi Arabia did during the Gulf war).
If there is a major disruption of production ( a hurricane such as Katrina or an oil refinery explosion) the market prices for oil and gas will also rise.
On the demand side, threats of instability in the mideast or any other oil producing region will also impact the price of oil as speculators anticipate a decrease in future supply and bid current prices up.
Also on the demand side the tremendous growth of India and China in the past decade has significantly increased the demand for oil and gasoline driving market prices up.
Oil and gas prices are determined by demand side and supply side factors. When they change then the market price of those commodities will change. It is important to realize that because both the demand and supply of oil and gasoline are relatively price inelastic then even minor fluctuations in demand and supply will result in relatively large fluctuations in price.
The government needing more money is either a tea party position or the result of some one smoking too much tea!
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∙ 11y ago
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Why has the gas prices gone up and do you think its fair if it keeps going up?
= Why has the gas prices gone up and do you think its fair if it keeps going up? =
How have the gas prices changed since 1970 to 2005?
they've gone up
Food prices gone up why?
The Price of food has gone up because of gas prices being higher which makes it more expensive to get things to sell. There for making them have to sell the items for more money to make a profit.
How much percent have gas prices gone up since the early 90s?
They have gone up a bunch, including 25 percent since 1 August 2007.
Why have the gas prices have gone up so much lately?
America's supply from other countries is now less than 5%. Gas prices have gone up because the amount is low and the demand is high. Also, since the gas prices have gone up, so has everything else. Food, electronics, electricity bills, etc. The high price on gas affects everything. I think America has to get off oil, and find some other resource to power our things. If we don't, we might find gas prices at over $5.00 per gallon. And it's just becoming more expensive to find oil and gas, so again, that affects the price of the gas. High demand, low amount. That's what is causing the high gas prices.
Have food prices gone up in Detroit?
Yes
Who is making the gas prices go up?
The Gas is making the gas go up
Have you noticed how much plane tickets prices has gone up this year?
No, honestly I haven't noticed how much plane tickets prices has gone up this year, but I believe you.
Have diamond prices gone up since 1987?
Yes.
What are the gas prices in Italy?
Gas prices in Italy are up to 6 or 7 dollars per gallon
Has petrol sales gone up?
in some places petrol prices have gone up but in some places they have kept the same
Can a mayor lower gas prices?
No. Gas prices go up and down with how much the barrels of gas from the oil companies cost.
