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Why Have Gas Prices Jumped So High?

The perfect storm of Midwest pipeline and refinery problems sent prices at the pump well past the $4 mark in Mokena recently, according to reports. How will this affect your home budget?

 

The rupture and shutdown of a Wisconsin pipeline, as well as issues at Illinois and Indiana refineries have caused state gas prices to soar recently, the Associated Press reports.

Those prices, which were as high as $4.19 in Mokena earlier this week, are the highest in Great Lakes region, and the state average jumped from $3.61 a week ago to $4.05 on last Friday, the report stated. That jump also was the highest in the region.

READ: Have You Hit Your Mad-As-Hell Breaking Point Over Gas Prices?

The price increase, however, should be temporary, with prices dropping in the next few weeks as the refinery problems are fixed, according to the report. In fact, the prices have started to inch down this week, and drivers can stations selling fuel for $4.05 in some places in the Lincoln-Way area.

Recently, I asked readers what they could do to send oil companies a message that they couldn't keep local prices at the pump so drastically different from surrounding communities. Most commenters expressed dissatisfaction with state gas taxes and fees, while others said there wasn't much people could do.

READ: How Do Gas Stations Set Their Prices?

But when the cost to fill up a tank reaches the $4 level and beyond—even for a couple weeks—something has to give, and it's probably going to be residents' personal budgets. Will these prices affect your spending? Will you drive less? Or will you cut out something else for a short time?

Share your thoughts and opinions in this article's comments section.

 

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    Related Topics: Gas Stations, high gas prices, and oil companies

    don dunkin

    11:14 am on Saturday, August 18, 2012

    $1,350 is what Obama costs WOMEN per year.
    Gas prices have gone up and is the same as a TAX

    Thousand Bucks or a Free Condom?

    Now 4.05
    Then 1.84
    Increase 2.25

    Average miles per year 15,000
    Average miles per gallon 25
    Gas used per year 600

    600 times 2.25 equals $1,350

    Reply

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