Cause of Gas Prices

In: Social Issues

Submitted By Dvant1
Words 354
Pages 2
Charles Prine
Mrs. Dingler
English 101-115
11 October 2013
The Cause and Effect of Rising Gas Fuel Prices
The rising cost of gas worldwide has effected all people in numerous ways. People use different types of gas to fuel vehicles, heat their homes, or to cook meals for their families. One reason for the rise in the price of this resource stems from the lack of oil refineries used to produce gas. Fewer refineries leads to less of the product that is manufactured. When there is a high demand for a low turnout product the price usually tends to be higher.
Another reason that the prices for gas and fuel to rise could be linked to weather conditions. Not only does it affect the shipment of crude oil, it also takes a toll on the oil rigs in the ocean. Along roadways storms may cause delays in an expected shipment of gasoline, or propane to stores. Other Natural disasters, such as earthquakes and hurricanes can also cause the shutdown of oil rigs, or the transportation of crude oil by ship to refineries. This again, shortens the supply of gas and could in turn raise prices.
Furthermore, oil producing countries also control the price of gasoline in different ways. Taxes and embargos on crude oil, tariffs, and how much oil a country is willing to export are all major factors when gas prices are set. War in these countries can also affect the production, distribution, and consumption of this major resource. When a country is at war, it tends to use more, and produce less oil, or even raise the price on any oil it exports. Gas and fuel are almost a necessity in life, prices of both effect day to day life of nearly everyone worldwide. It is one thing that makes a person cut back on spending. Whether it be fewer or no vacations during the summer, carpooling to work to save money, eating out less, buying more fuel efficient vehicles, or just giving up…...

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