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Gas Price Fall Aids Republicans

Polls Find Widespread Mistrust Among Consumers

By Joe Benton
ConsumerAffairs.com

September 22, 2006
Gasoline prices have fallen below $2 a gallon in limited areas of the country with the lowest price for regular self serve found in Covington, Kentucky at $1.94.

Regular self-serve gasoline is now selling for $2.50 or less in 33 states with the national average for a gallon of regular sitting at $2.44.

One month ago a gallon of regular averaged $2.59 and one year ago $2.69.

A recent public opinion survey indicates widespread mistrust throughout the country over gasoline prices. The USA Today poll found that 42 percent of the people responding to the survey believe the Bush administration is deliberately manipulating the price of gasoline so that prices will fall before the November elections.

Almost 53 percent disagreed with the idea that there is a relationship between declining gasoline prices and the upcoming election.

Pollsters and statisticians following gas prices and Bush's ratings insist there is a relationship, however. As gas prices have gone up over the past year the President's approval ratings have gone down. Recently, as gas prices fell, his ratings went up.

Here is a look at some gas prices from around the country in the weekly ConsumerAffairs.com Gas Price Round Up.

California: Southern California entered its fifth straight week of rapid gas price declines, with most areas seeing drops of more than one cent per day, according to the Automobile Club of Southern California's Weekend Gas Watch.

The average price of self-serve regular gasoline in the Los Angeles-Long Beach area is $2.86, which is 9.8 cents lower than last week, 34 cents lower than last month and eight cents lower than last year.

In San Diego, the price is $2.79, 12 cents below last week's price, 42 cents below last month and 19 cents below last year.

On the Central Coast, the average price is $3.08, down 9.8 cents from last week, 31 cents below last month and three cents higher than last year. In the Inland Empire, the average price is $2.84, down 12.8 cents from last week, 39 cents below last month and 13 cents lower than last year.

"The world oil market has seen prices plummet by more than 20 percent since July, as supply continues to be plentiful and no significant disruptions have occurred so far," said Auto Club spokesperson Carol Thorp. "In most Southern California cities, motorists are actually paying less for gasoline than at this time last year."

Texas: Retail gas prices in Texas are on a downward trend that has extended into week seven, according to the AAA Texas Weekend Gas Watch. The statewide average price for gasoline of self-serve gasoline is $2.33 a gallon. That is about 12 cents less than a week ago.

Motorists in Corpus Christi are seeing prices closer to $2 a gallon at $2.14, a nine cent weekly drop. The highest average on the survey is in El Paso at $2.55 a gallon, also a decrease of nine cents.

"The continued drop in crude oil and gasoline prices over the past few weeks can be attributed to a cooling of international tensions, a drop in demand and an unusually quiet 2006 hurricane season," said AAA Texas spokesperson Rose Rougeau. "Crude prices have declined more than 20% from a record $78.40 a barrel on July 14th to $60 a barrel this week."

Iowa: Some drivers in Iowa received a pleasant surprise as gas prices fell below under $2.

Many stations are selling the ethanol-blend for $1.99. The last time gas prices were under the $2 mark was May 2005, according to the Iowa Department of Natural Resources. Energy experts say prices could fall a bit more, but not much. They're likely to go up a bit again, but are expected to stay in the lower $2 range.

Ohio: A welcome surprise could be in store for Ohio drivers used to paying nearly $3 for a gallon of gas. The price is headed as low as $1.99 according to some experts.

A survey by the AAA said the average price for regular gasoline tin the state is $2.20. Ohio trails only Missouri as having the lowest average price in the nation, the AAA report says.

Some drivers in Trumbull County were pleasantly surprised when a BP station was selling regular gas for $1.99 a gallon. The price was set to mark the station's anniversary, however, and the price was raised later today to $2.19.

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