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California continues to have the highest gas prices in the U.S. and Oklahoma has the lowest, according to a recent report.
Editor's note: This story was updated May 26 to include the latest gas price numbers and information from AAA.
California continues to have the highest gasoline prices in the U.S.—now $6.07 a gallon on average—while Oklahoma has the lowest—$4.09 a gallon, according to a report by the American Automobile Association. As of May 26, the national average price per gallon was $4.60, compared with $3.35 per gallon one year ago, AAA said.
The states following California with the highest fuel prices are:
- New York—$4.93
- Washington, D.C.—$4.84
- New Jersey—$4.76
U.S. gas prices have been rising due to a variety of factors. Experts say there are two big factors: The war in Ukraine that has interrupted petroleum supplies from Russia as well as total domestic consumption going up as the pandemic wanes.
When gas prices rise, they can be a drag on the economy—impacting everything from consumer spending to the price of airline tickets to hiring practices, according to Investopedia. Gas is an important input for transportation, which impacts drivers but also businesses that rely on logistics and transportation chains around the globe.
But there is a bit of good news: Higher fuel prices may be a boon for municipal governments. “Local production costs have increased leading to rising gas taxes,” Teryn Zmuda, chief economist at the National Associations of Counties, said in a statement to Route Fifty earlier this year. “Counties that collect gas taxes will see an uptick in revenue which will benefit residents.”
AAA says the states following Oklahoma with the lowest fuel prices are:
- North Dakota—$4.23
- South Dakota—$4.24
Regular unleaded gas was chosen as the type of fuel studied by AAA because it is the most popular. For more information from the AAA report click here.
Andre Claudio is an assistant editor at Route Fifty.
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