What Is Affecting The Gasoline Prices

By Wayne Truter

The rising gasoline prices has everyone concerned about the future. Of course, with gasoline being the fuel of the most common form of transportation today, who would not be? And since gasoline is still a major fuel used by most cars in the world, there is nothing that can be done except deal with the changes. People may not have that much of an influence in lowering the current gas prices especially with the great demand for gasoline elsewhere in the world. The most effective means would be making a collective effort of minimizing gasoline use as well as trying to get more out of every gallon of gas as possible.

Crude Oil Gasoline comes from crude oil. A bulk of the crude oil supply for the global market is located in the Middle East. This region accounts for about forty percent of the world's supply of crude oil. And in this region has an established organization called OPEC (Organization of Petroleum Exporting Countries) that sets the price of crude oil produced by their member countries. The OPEC also sets the rate of production at which each member countries should try to come up with periodically in order to set up a stable enough supply according to demand.

High speed driving may also affect a car's mileage. Driving fast usually increases a car's aerodynamic drag. This means that the faster that a car travels, the greater the wind resistance becoming a factor in fuel economy. Habitual idling can also affect a car's mileage. Frequent idling uses gasoline but adds zero miles on the counter and therefore affects the car's mileage.

Taxes are also considered a prime factor in setting the price tag for gasoline at retail gas stations. Different areas in the country follow different tax standards for gasoline. Aside from the federal taxes, states also have their own set of taxes being placed on petroleum products. The higher the taxes placed on gasoline, the higher its retail price eventually becomes. The difference in state, federal and local taxes is also one of the reaosns why different states have different gasoline prices.

Car maintenance is not only limited to the engine if improving car mileage is the aim. Even tire inflation can account for a car's mileage. Properly inflated tires can help reduce rolling resistance and therefore help a car enjoy better mileage. Other important areas of the car to look into to improve car mileage are the air filter and brakes. Dirty air filters and poor brakes can make the engine work double hard and use up more fuel.

The type of gasoline being used in a car can also affect its mileage. There are certain variations of gasoline fuels that offer lesser energy than others. Using reformulated gasoline, for instance, may cause some changes in fuel economy due to their lesser energy content. Not only is the type affecting the gasoline's energy content, seasons may also have some effect. The reason for this might be behind the refining process. But generally, gasoline products sold during the summer usually have a higher energy content rating than gasoline products being sold during the winter.

Taxes Gasoline prices may also be affected by taxes both local and countrywide. The difference in the taxes set for gasoline in different areas account also for other places having cheaper gasoline than in other areas. On average, taxes in general account for about ten percent of the price set for gasoline.With The rising cost in fuel prices I think car insurers should bring down the prices for insurance! - 21396

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