Topic > Oil prices and the American economy: correlation analysis

Gas prices are constantly rising and will continue to do so if nothing is done to prevent their continued rise. There are many reasons why gas prices are consistently so high, both because so many people profit from the increased influx of gas prices. In the meantime there are many measures that can be taken to help save on fuel costs by getting the most fuel economy out of our cars. America will always rely on gas because all automotive vehicles used run on gasoline and oil. A couple of solutions have been proposed that will undoubtedly help lower gas prices in the United States. If nothing changes dramatically, gas prices will continue to rise and the American people will suffer financially. This is why there should be a national gas price decrease that would greatly help America's gas budget and further lift us out of this recession. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay For starters, many different people profit from the misfortune and financial stress resulting from high gas prices. Some people may wonder “what causes high gas prices”, here are some explanations (Fuel 1). The government surprisingly makes significant gains by imposing taxes on gas, oil refineries, and oil suppliers, which seriously increases gas prices. It is obvious that “while high gas prices have attracted media and public attention, the issue of gasoline taxes has sparked debate” (Gasoline 1). To be precise, the government raises gas prices on average by nearly 20 cents, but sometimes by as much as 50 cents. Like the government, oil refineries must offset these taxes by raising prices and taking a cut of the profits. Oil refineries are the middlemen and they are the ones who produce gasoline and determine the price to sell it to the gas companies. The gas companies ultimately decide the final price of the gas because they are the ones who sell it to the general public. Through all these processes required to actually turn oil into gas, it is an expensive development. Another point that comes into play is that there would be many benefits from lower gas prices. Americans would be able to invest their money in different ways, which would help stimulate the economy and get out of recession. By stimulating the economy, it would get Americans back on their feet and finally help America get out of debt. One such benefit would be that Americans could spend their money on other daily or automotive expenses. There was a time when “the national average reached $1.68 a gallon,” which was considered high (Fuel 1). Today, gas prices have doubled, and those prices would be something current gasoline users dream of. Gas has increased significantly in recent years and continues to grow. Gas prices don't necessarily have to go below $2, as nice as that would be, but at least they shouldn't go to nearly $4. Undoubtedly the United States is very dependent on gas and oil because cars are what make our society function, whether it is to get to work or many other destinations. To be successful in today's society you need to own a car or some type of transportation which is most likely powered by gasoline and oil. We will also always depend on some sort of fuel which is now petrol and it is difficult to afford that with the price of gas being so high. Given that.