Should Ark-La-Tex Residents Worry About Gas Prices? - KSLA News 12 Shreveport, Louisiana News Weather & Sports

SHREVEPORT, LA

Should Ark-La-Tex Residents Worry About Gas Prices?

Consumers say a looming hurricane means spending a lot more at the pump, and they're bracing themselves as Dean creeps closer.
"You held hostage cause gas is too high," said consumer Gladys Smith.
"The gas companies always do that. Even though they have it in reserve and it could come way down but they choose not to," added Patricia Cook.
Experts say that kind of thinking is actually what causes gas prices to eventually go up.
LSUS Associate Professor of Economics Tim Shaughnessy says it's the consumer's expectation of high fuel prices that's a major contributor.
"If you think the price of something is going to increase, people will tend to buy it low today, thinking that it's going to become more expensive tomorrow and the increased demand today makes the price go up tomorrow," he said. 
And you may worry about how this is going to affect Ark-La-Tex prices in particular.
"You might see a little bit of a bump upwards but probably just it might just wash a couple of the drops we've seen of a couple 10-15 cents that we've been experiencing," said Shaughnessy.
He says just as people bounce back from disasters, so do economies.
Story By Ben Wolf

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