National Average of Gas Prices 2000-2001

National Average of mishandle Prices 2000-2001         In the beginning of the summer, when well-nigh battalion drive to vacation spots throughout the coupled States, bungle prices reached record highs. In June 2000, the national average was $1.68 per gal and in some larger cities; the prices soared to $2.00 and more per gallon (Facts.com, 2005). Americans were tearing non only because consumers were paying more at the pumps, but because emanation enkindle costs have triggered inflation. Americans realized that if inflation began to rise, a recession could be triggered as had occurred in the 1970s and 1980s (Facts.com, 2005). Affects on gun Costs on the Economy 2000-2001         Fuel prices began to rise because the herald forth of crude petroleum was not meeting the ever-increasing take for fuel. The Organization of vegetable oil Exporting Countries (OPEC), a theme of nations that determines what the guidelines for terra firma fuel exports should be, displace the production quotas in 1999, point though the demand for oil was rising around the world ((Facts.com, 2005). During this time, in the United States, the demand for oil was increasing callable to the strong economy. Asias economy was in any case rebounding from an economical crash in 1997 (Facts.com, 2005). These two factors allowed more consumers to belong raise distances in larger cars.

Consumers began to feel more reassured in the economy and were not so money conscious. sooner of the small, fuel-efficient cars, consumers began to grease ones palms sport-utility vehicles (SUVs) t hat required large quantities of gas. Gas pr! ices were a sawhorse freeze off in 2000 than they were in 1987 (Facts.com, 2005). Gas costs were lower per gallon than Coca-Cola, milk, and orange juice and significantly lower than olive oil and eye drops (Facts.com, 2005). Consumers would use this reasoning to justify purchases of the fuel thirsty(p) SUVs. Americans were encouraged by the government... If you want to get a skillful essay, order it on our website: OrderCustomPaper.com

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