| Copyright (c) 2008 Steven Magill | | | | hostage. The war in Iraq has further depleted |
| | | | the export of oil from the economy as has the |
| Every day it seems as though the price for a | | | | rebel activity in Nigeria. |
| barrel of crude oil climbs ever higher. The | | | | |
| people of the United States have every right | | | | The refinement process of crude oil in the |
| to ask, "Why are gas prices so high?" There | | | | United States is also one of the reasons why |
| are many factors involved in the answer to | | | | gas prices are so high. The reasoning behind |
| that question. | | | | this shift in expense is because the |
| | | | congressional elements seek to create cleaner |
| It is said that in the United States that | | | | blends of fuels that target the safety of the |
| over 140 billion gallons of gasoline and | | | | environment. The last few years have seen |
| diesel fuel are consumed each year. That is a | | | | some damaging hurricanes hit the Gulf Coast |
| lot of oil and reserves cannot keep up with | | | | and this too adds to the reasons of why gas |
| this type of demand. That is only what the | | | | prices are so high. |
| U.S. uses and if you figure in what other | | | | |
| nations consume, the picture becomes even | | | | The areas of drilling for crude oil in the |
| bleaker. | | | | United States have also seen a decrease in |
| | | | production and in some cases a complete |
| The Demand for Oil is Increasing | | | | drying up of the oil resource. Oil companies |
| | | | are having to find crude oil supplies in |
| Supply and demand affects all areas of | | | | locations that are much harder to reach which |
| commerce and in the fuel industry this is | | | | in turn makes looking for oil supplies a more |
| true as well. More countries are becoming | | | | expensive venture. |
| developed and the need for oil is rising | | | | |
| everyday. China is fast catching up with the | | | | There is not just a single reason of why gas |
| United States and is thought to be well on | | | | prices are so high, there are many. That is |
| her way to surpassing it. It is thought by | | | | why more money should be funneled into the |
| some economic experts that the United States | | | | research and development of alternative fuel |
| along with other industrialized nations will | | | | sources. The people of the U.S. should hang |
| need as much as 140 billion gallons of oil on | | | | up their big SUV keys and look to smaller, |
| a daily basis. | | | | more fuel efficient cars that will save them |
| | | | money by having to put less fuel in their |
| Supply Problems and Geopolitics | | | | tanks. |
| | | | |
| The main region where most nations get their | | | | There are many ways that an average family |
| supply of oil is the Middle East. This is a | | | | can save on gas and many of them are quite |
| region that is known for its instability and | | | | easily implemented. Doing your part to save |
| often the flow of oil is interrupted because | | | | the precious resource of crude oil should be |
| of warring factions. As we try to negotiate | | | | on the top of everyone's list no matter where |
| with Iran over their desire for nuclear | | | | in the world you live. |
| weapons, they are holding their oil supply as | | | | |