Increasing gasoline supplies are the reason the average pump price last year was the cheapest seen since 2010. While prices are creeping up right now, industry expert are predicting the trend will continue.
“The prices have not gone up since 2010, they have gone down,” petroleum economist Karr Ingham says. “This is because we've added so much to supply, and that continues to be the case moving into 2014.”
Ingham is affiliated with the Texas Alliance of Energy Producers. He says it's simple economics: we have more gas and a less-rapid growth in demand -- that pushes the cost of gas lower.
“Relative to one year ago, relative to five years ago,” he explains, “we have simply turned our crude oil production around in the United States. We are now producing dramatically more crude oil.”