
There were a number of news stories last week about rising gas prices. The stories made it look like gas had risen to $3.99 all of a sudden, even though we have seen the price top out at $3.99 several times in the past month.
This is not to deny that prices in places like Chicago and the urban areas of the West Coast are not above four dollars, but these were local stories. It seemed to be like a lot of the kind of hype we in the media are accused of on a regular basis.
On Saturday, I saw gas at $3.93. Right.
Today (Sunday), the lowest price is $3.92.
(The picture here was taken January 15, 2011.)
Where will prices go this week? In the Gas Game blog,
Ed Aboufadel predicts it will drop to $3.89. Or it will rise to $4.09. Right.
Aboufadel wonders, however, whether $3.99 is a psychological price barrier, and I think he's onto something. Back in 2008, when summer gas prices sailed well above four dollars around West Michigan, sales of high gas mileage rides like SUVs tanked. But, strangely enough, by Election Day, the price was $1.79. I don't believe anything like that will happen this year.
But one has to wonder what it will take for the $3.99 barrier to fall.
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