Gas prices are no longer rising

Picked up originally from Econbrowser, who reports from the WSJ.  Gas futures are dropping, suggesting that gas prices themselves are about to follow.

The story of April that I posted in March appears to be playing out again.  Gas prices spike in April, then retrench.  However, the overarching trend of an upward climb remains unchecked.

The rising price of gas is actually occurring despite a reduction in miles driven in the United States.  Doug Short provides visuals from department of transportation data:

This is the vehicle miles driven adjusted for population growth.  The U.S. population has been growing steady, all told that alone will account for increased miles driven.  However, the average American is driving fewer miles per year than they were back in 2005.

We are driving less, in more fuel efficient vehicles, and paying more for gas.  As I said in an earlier blog, it's not taxes, it's not about us.  It's a global supply/demand equation.  We can no more stop the rise of gas prices than we can stop the tide.  What you can do is prevent the rising gas prices from impacting you too substantially.