Fuel prices are surging in the United States, hitting highs not seen in nearly a decade and a half. The average cost of a gallon of regular gasoline now stands at $4.06, 62 cents more than just one month ago.
The price spike is due to several factors. Most notably, the Russian invasion of Ukraine is leading to reduced supply of oil and gas, as many would-be buyers are boycotting Russian oil. Russia is traditionally the third largest oil supplier in the world, accounting for 11% of global production. Here is a look at the 15 countries that control the world’s oil.
Even before the outbreak of war in Eastern Europe, fuel prices were on the rise. The ongoing reopening of the U.S. economy has contributed to rising demand for fuel – and to broader inflation concerns. Meanwhile, domestic supply of fuel has been limited, as oil companies have cut investments in new wells in recent years to improve profitability.
Exactly how quickly gas prices are rising varies across the country. Using fuel price data from AAA, the American Automobile Association, 24/7 Wall St. identified the states where gas prices are rising the fastest. States are ranked by the month-over-month change in the average price of a gallon of regular gasoline, in dollars, from Feb. 7, 2022, to March 7, 2022. Depending on the state, gas prices are now anywhere from 29 cents to 75 cents higher than they were one month ago.
The total price motorists pay at the pump is the product of several factors, including the price of crude oil – largely determined by global supply and demand – and taxes. The U.S. government levies a gasoline tax of 18.4 cents per gallon, while states are free to set their own gas tax rate. State gas taxes and fees average about 30 cents per gallon. Here is a look at the states with the highest gas taxes.
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