Visualized: Gas Prices
If you’ve been on social media you’ve seen postings about the increase in gas prices over the past year. We’ve seen these as well but, as most economists would explain, an increase is expected as the economy recovers from the pandemic.
We took this visualization a step further and broke down gasoline prices into 1, 2, 3 and 5 year increments to see if the current prices are trending higher then they otherwise should. We found the latest price in the 1 year to be fairly normal. However, when we regressed the later years we found the current prices to be 30 to 55 cents greater than expected.