Gas prices are the highest February price in history. Costing $3.53 a gallon prices are up 25 cents up from January 1, 2012. Experts are saying that a gallon of gas in all states could reach up to $4.25 by late April 2012.
One station in Bayside, Queens, is selling a gallon of gas for $4.59, according to NewYorkGasPrices.
The higher the gas prices go, the more it’s going to hurt consumer spending and the United States economy, that was starting to improve. Normally, gas prices rise during March and April, but with them being already at an all time high, it’s going to be worse in the coming months when gas prices start to rise more.
Why does gas usually rise during the Spring time you might ask? During the spring, refiners will suspend their operation and switch the type of gasoline they make. Supplies of the wintertime gas are sold off before March so gasoline refineries start to make a new formula that is required for Summer. During the summertime, gasoline is more expensive to make because the government mandates that the gasoline contains less butane and other cheap organic compounds because they contribute to the formation of ground-level ozone and smog.
Gas prices will hurt people’s budgets even more than they are already. With a 25-cent jump in gasoline prices, if sustained over a year, it would cost the economy about $35 billion, according to NewsDay.
The NY Times reported that White House officials are preparing for this gas crisis. “In a closed-door meeting last week, Speaker John A. Boehner instructed fellow Republicans to embrace the gas-pump anger they find among their constituents when they return to their districts for the Presidents’ Day recess.
“This debate is a debate we want to have,” Mr. Boehner told his conference on Wednesday, according to a Republican aide who was present. “It was reported this week that we’ll soon see $4-a-gallon gas prices. Maybe higher. Certainly, this summer will see the highest gas prices in years. Your constituents saw those reports, and they’ll be talking about it.”
Newt Gingrich turned to Twitter on Friday and wrote, “gasoline prices are unacceptable. We can do better!” He began to urge his supporters to sign a petition on his Web site for a return to $2.50 per gallon gas. The petition says, “Drill here. Drill now. Pay less.”