Gas Prices Worldwide
Robert Jones
Issue date: 10/15/05 Section: World News
|
Gas price per gallon- $5.62
The Reason
Hong Kong suffered in the Asian Financial Crisis of 1997. With virtually no natural resources to rely on and local enterprises investing their money in safe havens, Hong Kong's currency was devalued and their stock market was adversely affected. As a result, since the 1990's the gap between the rich and the poor widened. Many common people in Hong Kong rely on public transportation for most of their daily travel, and consider a car as a rich man's luxury instead of a necessity. So while gas is at an extremely high cost, only businessmen and the wealthy are truly affected.
Frankfurt, Germany
Gas price per gallon- $5.29
The Reason
Germany has the world's third largest economy and the largest economy in Europe; however, it has also been strained by external shocks, domestic structural problems, and continued difficulties in integrating the former communist east. Also, the German government provides an extensive array of social services to its citizens, which is also costly within its self, which makes taxes higher (16% fuel tax). Due to oil refinery destruction in the wake of Hurricane Katrina (the U.S. being Europe's main oil supplier), prices have soared to record highs.
Bangkok, Thailand
Gas price per gallon- $1.60
The Reason
The cost of living in Bangkok, Thailand is very cheap. Also Bangkok's economy is booming because of large tourism revenue. Although this country was the first and hardest hit during the Asian Financial Crisis in 1997 and also took substantial losses due to the SARS outbreak of 2003, the governments "Amazing Thailand" tourism campaign kept tourists interested and business on the rise. Another factor is that oil prices have always been lower in Bangkok because Bangkok is Thailand's main oil distribution center.
Venezuela, Caracas
Gas price per gallon- $0.14
The Reason
Oil is pumped, sold, and exported out of Venezuela everyday, and hence they have the cheapest gas prices. Also, a government owned company produces oil and gas prices are kept low as benefit to the nation's citizens. So, any gas station in Venezuela that wants to raise the price of gas above the government-regulated price is prohibited.