Gas prices outlook for 2013 and beyond

GAS PRICES OUTLOOK FOR 2013 AND BEYOND
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Gas prices
The U.S. Energy Information Administration (EIA) projection reports that "as of March 12, 2013, for the average retail price of regular-grade gasoline for March through December 2013 is $3.56 per gallon." The agency further projects that the average retail price of gasoline per gallon will reach $3.38 in 2014.
As inflation changes with the times throughout the years, there are some instances where the prices are high whereas the prices pretty much go down in others because as the prices drop by different margins depending on the response to the global economy. Al-Ghandoor et al., (2013) elaborates that the prices of gasoline keep grabbing the headlines and diverting the attention of many citizens it is important to point out that the main factors that affect these very prices in 2013 and those that shall keep affecting the same in 2014 and years to come. One of these factors is the soaring crude prices in the oil producing nations, stability in the respective political atmospheres, supply and demand of the crude oil and crude oil by products, market competition, new government regulations and impending legislations as well as the taxes being implemented in various jurisdictions around the U.S. and the world.
While the factors aforementioned seem to be playing an important role in determining the stability of oil prices in 2013 and the future there are already talks of "better" options to crude oil, such as methanol as noted by Olah (2013) as this poses competition to the already existing market options.
It is in view of the above that the prevailing factors shall continue to play the role and therefore sparking more uncertainty into the stability or predictability of the gas market. There is no prediction on the long run on how the market forces shall go. However, more studies need to be done on the ...