How low can it go?

Would you believe gas at $1 a gallon? We're not there yet, but some forecasters consider it a possibility. In the government's latest survey, the average price of regular in the L.A. area was $1.82 a gallon, down about 16 cents from last week. From the LAT:

"The world has changed. I don't see any reason why $1 gasoline isn't possible, and $25-a-barrel oil is not out of the question," said Phil Flynn, vice president and senior market analyst for the Alaron Trading Corp. in Chicago. "I don't think the downside is over. There is a lot of surplus oil out there."

Last night I filled my tank with mid-grade gas and paid $29.05, about $45 cheaper than back in June. Start multiplying those sorts of savings and you're looking at pretty hefty economic stimulus.

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Mark Lacter
Mark Lacter created the LA Biz Observed blog in 2006. He posted until the day before his death on Nov. 13, 2013.
Mark Lacter, business writer and editor was 59
The multi-talented Mark Lacter
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