Soaring gas prices isn’t the only implications of Russia’s incursion of Ukraine. According to University of Louisiana Monroe economics professor Tammy Johnston, the tension is exerting other repercussions on the US economy. “There seems to be a lot of negative things happening right now, and none of it is going to be a quick fix,” Johnston said. Russia’s invasion of Ukraine is causing gas prices to spike worldwide. Over the past week, the average price of a gallon of gas has jumped up 51 cents across south Louisiana. According to Johnston, gas prices are rising because “7% of oil in the United States is imported from Russia.” Louisiana is now experiencing its highest gas prices since 2014. According to Johnston, if Russia shuts off its oil supply, things may get more complicated. While Louisiana remains about 22 cents below the national average of $4.25, prices shot up 9 cents overnight, according to AAA. The average price per gallon of regular gas in Louisiana is more than 60 cents higher than a week ago. nearly 80 cents over last month, and more than $1.48 higher than they were one year ago. Several people were stunned when they learned that gas had risen to $4 a gallon on Monday. Loren Scott, an analyst at Optima Capital, predicts fuel prices will rise even more in the near future. “There’s not only no sign of it stopping, but it’s getting ready to go up even more. It may be going up as much as a dollar a gallon,” Scott said. The main reason this is happening, Scott said, is because of “Russia’s ongoing invasion in Ukraine, which is driving up the cost of a barrel of oil, which now costs around $130.” According to Gas Buddy, a website that analyzes gas prices, the national average is now nearing $4 per gallon, which is the highest it has ever been. The average gas price in Louisiana jumped 51 cents last week, nearing the $4 mark, something folks haven’t seen in about 14 years. On July 17, 2008, the average price for a gallon of regular unleaded was $4.002 and a gallon of diesel was $4.766, according to Triple A. According to De Hann, we will shortly exceed the $4-per-gallon threshold, bringing us closer to the national average of $4.50 per gallon. “California gas prices are already averaging approximately $6.76 per gallon, with certain gas stations nearing $7 per gallon,” he says. The extraordinary rise in gas costs, not only in California but across the country, appears to have no relief in horizon. As of now, Baton Rouge and New Orleans have a gallon of gas averaging $3.88. Both cities have seen their gas prices rise by 50 cents. In Central Louisiana, gas prices have risen to almost $4 per gallon, which is unsustainable for local residents. A local lady filling up her car commented, “After I put $30 worth of fuel in this car, I expected it to be full. But it isn’t. It isn’t even close to half a tank,” the woman said. Despite measures taken to lower gas prices in the U.S., the high prices are likely to soar once again for some time, according to economists.
Categories:
Louisiana Gas Prices Soar Amidst Ukraine/Russia Conflict
March 29, 2022
0
More to Discover