Gas Prices on the Decline Could Equal Major Economic Boost

By Linda Ripoll
 

Even though gas prices are a $1 higher than they were this time last year, the good news is that the price of gas is tumbling and it’s tumbling fast. Over the past three weeks, gas prices have dropped nearly 19 cents which has many Americans feeling optimistic about the future of prices at the pump. The average gas price is currently $3.74 and with the price of crude oil declining from $100 dollars a barrel to $99 dollars a barrel, many analysts are predicting gas prices to continue their downward trend. One of the main reasons prices are starting to slide are that there is a weakened demand for gas due to the high unemployment rates. According to a recent article on CNN.com, Trillby Lundberg of the Lundberg Survey is confident that lower gas prices are definitely here to stay:
 

“But Lundberg said she believes that even without increased output from Saudi Arabia, "we will still see lower prices at the pump, because supply is high and demand is weak. ... There's a very good chance it will continue falling."

Many American travelers have been hindered by the high cost in gas which has in turn impacted the summer travel season. With falling gas prices ahead, there could be a major uptick in Americans travelling which could invariably cause an economic upsweep.