Except there was. The war in Ukraine and pent-up demand. All I said was that you missed the deal that Trump made with OPEC to cut production. And all you had to do was acknowledge that it was certainly a major factor in the spike in gas prices under Biden. Can you not do that?
boy, you and I have a communication problem...all you had to do was acknowledge that gas prices in 2022 were higher than they are today...which is what I posted. Like I said in my last one if you want to have a discussion on the why's I'd be happy to do so..Now, as I said I'd have to do some research, but if the supply is reduced and demand isn't correspondingly decreased than the price will go up. here's the AI explanation:
Gas prices soared to record highs in 2022 due to a combination of surging global demand as COVID-19 pandemic restrictions eased and severe supply constraints. The primary catalyst was Russia's invasion of Ukraine, which triggered international sanctions and massive disruptions in global oil supplies.
Key drivers of the 2022 price surge included:
- Global Oil Supply Shocks: Russia is one of the world's largest oil producers. The threat and implementation of sanctions on Russian energy exports created extreme uncertainty, driving crude oil prices to their highest levels since 2008.
- Rapid Post-Pandemic Demand: As economies reopened globally, travel resumed and manufacturing ramped up, causing a massive, rapid surge in the demand for oil and refined petroleum products.
- Refinery Capacity Constraints: Even when crude oil was available, the ability to turn it into usable gasoline was limited. Several refineries had reduced or permanently closed capacity during the pandemic, making it difficult to keep up with the rebounding demand.
- Interconnected Global Market: Because oil is a globally traded commodity, events anywhere in the world impact local prices at the pump. A shortage in one region drives up the price of oil everywherThe U.S. Energy Information Administration's Gasoline and Diesel Fuel Update provides historical tracking of how prices eventually crested at over \(\$5.00\) per gallon nationally in mid-2022 before gradually cooling off later in the year. For a deeper breakdown of market factors, you can also explore the economic analysis from the International Energy Agency
So, at least according to AI, which I had no hand in writing, the reasons seem to go a little further than what you have in mind. That's not saying you're not right, as that seems to be very important to you, it's just that I don't know. But AI seeming does. here's what it says about the OPEC cut in production:
Donald Trump negotiated a deal with OPEC and allied oil-producing nations (OPEC+) to cut oil production in
April 2020
e deal was finalized around April 12, 2020, following an emergency meeting of OPEC+ ministers and lobbying by the Trump administration to stabilize oil prices, which had crashed due to the COVID-19 pandemic and a price war between Saudi Arabia and Russia
Key details of the deal:
- The Cut: OPEC+ agreed to cut production by 9.7 million barrels per day (bpd), representing the largest production cut ever negotiated at the time, beginning in May 2020.
- Trump's Involvement: Trump acted as an intermediary, particularly in persuading Mexico to sign onto the deal, and suggested the U.S. would make further production cuts on behalf of its neighbor.
- Result: The deal aimed to boost collapsing oil prices, which had fallen drastically in early 2020. It was described by officials as an effort to stabilize global oil markets and protect the U.S. energy industry, specifically shale producer
This historic agreement was formally recognized by OPEC+ as a, which was part of a broader, long-term effort to manage oil inventories
Now to complete the puzzle, when did OPEC reverse the reduction...glad you asked, from AI again
OPEC+ began increasing oil production in early 2021, reversing the record 9.7 million bpd cuts from April 2020 to meet recovering demand. Major, sustained increases occurred throughout 2021, with significant, accelerated hikes in mid-2022 and another major market-share-driven push starting in April 2025, according to
MacroMicro and
QCIntel. [
1,
2,
3,
4,
5]
So there you have it . Make your own decision whether or not the cut from April 2020 to early 2021 was a "major factor" in the price spike in 2022. You obviously have made that decision. It likely was a factor, but if it was a "major factor" sorry, I don't know.