Gas prices in the U.S. have fallen from their summer highs. While this has many Americans breathing a sigh of relief, they are still about double what they were just two short years ago. Many energy traders also say prices are set to again move higher into the fall and winter months.
This market roller coaster ride shows how vulnerable the United States is against volatile market fluctuations in the short term. In the past, the domestic market response to high oil and gas prices has been to increase production, thus leading to lower prices in the future.
But the time-consuming and increasingly expensive cost of permitting for new energy exploration has since hindered this supply response, artificially inflating prices for longer periods of time.
See the full article by Paul Prentice, September 10, 2022