Why do gasoline prices fluctuate so often?
Studies have shown that the changes in gasoline prices are a result of competition within the market and the cost of the product. Gasoline prices are also affected by delivery costs, and supply and demand. Statistically, gasoline prices tend to rise throughout the summer months because of increased summer travel, and consumers may notice increases on long weekends, because that is when they drive more and longer – and therefore have to fill up their tank more often. In addition, market competition leads to gasoline price wars, gasoline discounts and other consumer incentives. The posting of gasoline prices on large outdoor signs enhances consumer awareness of price swings and competitive costs. 4. Canada has 5 billion barrels of conventional oil reserves and 173 billion barrels of oil sands reserves for a total of 178 billion barrels, second only to Saudi Arabia. Source: Canada’s Oil, Natural Gas and Oil Sands – Overview and Outlook, Canadian Association of Petroleum Producers, Washing
