Where are gasoline prices going?
7/14/2022, 4:44:03 PM
As of this writing (7/8/22), the price of regular gas in the Valley is around $4.45, lower than the national average of $4.75, which itself is down from its record high of $5, established during the second week of June. According to the U.S. Energy Information Administration (EIA), the previous record was established in July 2008 at $4.06, which in today’s dollars would be $5.40, still the highest inflation-adjusted average monthly gas price. Unlike now, in 2008, no major war was going on, but we experienced a record-high gasoline price alongside record-high oil prices of $134; calculated in today's dollars, it would have been $177! And all of this as the Great Recession was starting to get really bad. No surprise that oil price collapsed to $41 by the end of 2008. Gasoline prices followed oil’s downward spiral, dropping to $1.70 by December 2008.