Biden Expects Lower Christmas Costs This Year Compared to Last

Per President Biden's Twitter

The President of the United States announced that individuals would have to spend less on gas this year compared to last year. This is as the price of gas rose to $3.40 by December 2021 before going back to $3.23, per Ycharts.

The rising gas prices have been caused by multiple factors, including the war on Ukraine which shocked the rest of the world regarding where they should source their oil and energy from. While some countries were able to find an alternative right away, others had it harder, resulting in a spike for energy companies, specifically oil.

An article by NPR shares how the scarcity of oil has resulted in oil companies profiting more from the high demand but lacking supply. Even President Joe Biden gave a statement regarding the importance of oil and how companies profited from its scarcity.

Biden: "Exxon made more money than God this year."

Despite the rising oil prices, Biden is very strong and forward regarding his push to end fossil fuel, noting it does not have a place in the administration going forward. Although there is a strong push for oil alternatives, like electric vehicles or hybrids, there is still a huge demand for fuel consumption.

While designed as a pure-fuel alternative, it was also found that hybrids themselves use more fuel than initially estimated, per an article by Electrek. When it comes to pure electric, other companies are still slowly trying to compete and release their own EV models.

Biden: "I guarantee you, I guarantee you, we're going to end fossil fuel."

The prices of oil have been affected by multiple factors, per API, including the global crude oil costs which have increased by 61%, refining costs which have increased by 14%, state and federal taxes which have increased by 14%, and distribution and marketing costs which have grown by 11%.

Since the pandemic started in 2020, crude oil prices have been the main factor of gasoline prices increasing, with more insights regarding local gas stations provided by the National Association of Convenience Stores.

Resources:

@POTUS

Ycharts

Electrek

API

National Association of Convenience Stores

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