Is $4 a gallon enough to get people to drive less or use
mass transit or bicycles more????
Gov't says gas prices could hit $4
By JOHN WILEN, AP Business Writer
Tue Apr 8, 11:15 AM ET
NEW YORK - Retail gas prices could climb as high as $4 a gallon this summer, but prices at such lofty levels will make many Americans think twice about hitting the road this summer, the Energy Department said Tuesday.
High prices and a weak economy are expected to cut demand for gasoline by about 0.4 percent during the peak summer driving season, the department's Energy Information Administration said in a monthly report on petroleum supplies and demand. Overall consumption of petroleum products will drop by 90,000 barrels a day this year. Previously, the EIA had projected petroleum consumption would rise by 40,000 barrels a day.
Average monthly gas prices will peak around $3.60 a gallon in June, the EIA said. However, prices could rise much higher than that at times.
"It is important to note ... that even if the national average monthly gasoline price peaks around $3.60 per gallon this summer, it is possible that prices at some point will cross the $4 per gallon threshold," the EIA said.