United States Gas Prices Continuing To Fall

Travelers should be relieved to know that gas prices are continuing to decrease. The average cost of gas is now $2.48 per gallon. This is the lowest that gas has been since October 2009. There is more good news. Gas prices are expected to continue to fall. Analysts are predicting that the average cost of gas may soon be less than $2.40 per gallon.

It is estimated that 98.6 million people in America will travel more than 50 miles to see family members and friends during the holiday season. Most of these people will be traveling by car. According to the American Automobile Association, the falling gas prices are helping people save $425 million per day on fuel costs.

Keller, Texas is the city with the lowest gas prices. There is a station in this city that is selling gas for $1.69 per gallon. Even though researchers believe that gas prices will continue to drop as 2014 comes to an end, they do not think the drop will be as steep as it was in the past.

The dramatic decrease in gas prices can be attributed to the drop in oil prices. During the week of December 12, the average cost of crude oil was $61.14 per barrel. The average cost of crude oil per barrel was $97.21 during December 2013.

Falling gas prices affect the economy because most people in America spend a lot of money on gas. In fact, the average American spends around four percent of their income on gas. In 2012, the average American spent about $2,912 per year on gas. Gas sales bring in about $336 billion per year. This is more money than Americans spend on Medicaid.

Many Americans have found that they have more money to spend on other things because of the falling gas prices. This is a relief because the income of many people in America has stagnated. The middle class has also started to dissolve because of this. Fortunately, the money that Americans are saving on gas can go a long way.