SCSU’s Banaian Doesn’t Expect Gas Prices to Move Anytime Soon
Gas prices have come down 15 to 20 cents over the past couple of weeks. St. Cloud State Dean, School of Public Affairs and Economics Professor King Banaian joined me on WJON. He says the demand for gas remains high so he doesn't see prices coming down very much. He says many other aspects that could influence gas prices have stabilized.
Banaian says OPEC is raising oil production and staying the path that they are and it appears it will be a slow long war between Russia and Ukraine. He says a lack of surprises keeps the price of gas in the range we are at right now.
A month ago Banaian predicted we'd keep to $5 a gallon gas at some point this summer. He is backing away from that saying he's beginning to think he'll be wrong about that. Banaian says he's fine with being wrong about that. He says he was close in his prediction as we did hit $4.80 a gallon a few weeks ago in Central Minnesota.
Banaian says he also doesn't seen prices drop between $4 a gallon but if we do it's because we had a very bad recession.