Gas prices fall, expected to continue downward trend

by: Scott Wickersham Updated:

Loading
CHARLOTTE, N.C. —

The cost of gas has been dropping at the pump for weeks now.

Charlotte's average for regular is $3.20, down from $3.24 this time last year.

Some analysts are predicting oil prices now at $88 a barrel will drop $10 to $15 next year.

"We do expect gas prices to fall for the rest of the year and maybe into January." said Angela Daley with AAA Carolinas.

Daley said beyond that, it depends on the fiscal cliff.

"If we don't resolve our fiscal cliff issues, the economy will continue to sputter, and gas prices may continue to fall," Daley said.

Hal Short of Charlotte sees the good and bad in that.

"If the way we get cheaper prices is a recession, that's not good, but those cheaper prices would be a boost to the economy," says Short.

More oil production outside the Middle East and less demand from the west are also contributing to the drop.

It all adds up to a bold prediction from one analyst  who is calling it a form of tax relief for Americans in 2013, saying the 40-year tax on the west in the form of elevated oil prices since the mid-'70s could be coming to an end.