Prices at the Pump: Why Americans Have It Good

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gas price comparison
Getty ImagesIn Norway a gallon of gasoline averages $9.97 in U.S. dollars, compared to the current $3.55 a gallon average in the United States.
There's little U.S. residents enjoy more than complaining about gas prices, but paying $3.55 a gallon -- the current average price at the pump, according to GasBuddy.com -- is chump change compared to the prices consumers in other countries pay.

The average U.S. resident actually pays 90 cents to $2 less than the actual market value of gasoline because of government subsidies.

Gas prices around the world range anywhere from 4 cents in Venezuela to $9.98 in Turkey. Check out the interactive map below.



In Turkey, where the government finds the fuel tax relatively easy to enforce compared to other taxes, gasoline costs $9.98 at the pump. About 40 percent of the country's workforce have under-the-table jobs and don't pay taxes, which is why the fuel tax is an important source of revenue that Turkey can't easily afford to alter.


Norway is a major oil producing country, but the average Norwegian has to shell out $9.97 for a gallon of gas, more than twice the U.S. average. Norway doesn't subsidize fuel at the pump; instead, it uses oil profits to fund free college education and infrastructure development.

Most Europeans pay a much higher price for gasoline than Americans do, anywhere between $6 and $10 more a gallon.

In oil producing countries in the Middle East like Kuwait and Saudi Arabia, gas is dirt cheap. Saudi Arabians pay only 45 cents a gallon at the pump, while those in Kuwait pay just 80 cents.

But nowhere in the world is gas quite as cheap as it is in Venezuela. At 4 cents a gallon, it's practically free. In Venezuela, it costs about $1.56 to fill up the 39-gallon tank of a Chevrolet Suburban, according to calculations from Bloomberg, compared to $137.28 in the U.S. and $389.22 in Turkey.

For example, in India, gas costs about $4.36 a gallon, which may seem comparable to U.S. gas prices but really isn't. This is because per capita income is much lower in India than in the U.S. -- the cost of a single gallon of gas in India is about 16 percent more than the average Indian worker earns in one day; in the U.S., the average price of a gallon of gas is less than half of the federal minimum wage for one hour of work.


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158 Comments

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maloontransllc

Just more BS sliding down from the top... What else is there to say !

July 02 2013 at 7:43 AM Report abuse +1 rate up rate down Reply
1 reply to maloontransllc's comment
setanta54s_back

what else is there to say ?

TIME FOR THE CHANGE.

2014s incoming and every single POS antiAMERICAN,anticonstitution HOho
better be voted OUT.

get moving and keep moving and EDUCATE all YOU PERSONALLY come in contact with.

July 02 2013 at 10:22 AM Report abuse +1 rate up rate down Reply
gvari

Don't forget to consider the amount of miles Europeans have to drive, the average MPG of the cars and the access to public transportation. Also the insurance is much cheaper, at least a full tank's worth a month. No to mention a root canal.
You will end up with a different view.

July 02 2013 at 2:58 AM Report abuse rate up rate down Reply
h.hughjardon

Just did a quick read on Norway's taxation.....they tax the piss out of their residents. All that free stuff sure is expensive.

July 02 2013 at 12:44 AM Report abuse rate up rate down Reply
1 reply to h.hughjardon's comment
setanta54s_back

it's all the SAME in ANY socialists paradise.

July 02 2013 at 10:14 AM Report abuse +1 rate up rate down Reply
John Perry

TORO STUFF!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
I doubt Norway has it's own source of oil products as America does.

When gas spiked to $4.00 a gallon under President Bush he made no excuses.
He didn't say he had no control over oil prices.
He drove the prices down.

He ordered more off shore leases opened up and expedited pending exploration permits and openly pushed for more American production.

Obama CLOSED most of the offshore lease and we still have an embargo in the Gulf of Mexico.
Production has been cut on Federal land by OBAMA.

OBAMA BUYS OIL from Mexico which comes from the Gulf of Mexico.

When obama took office the $4.00 a gallon gas under Bush had dropped to a $1.81 because if the efforts of a Leader who cared more for American's than his own personal agenda.

While Senator obama was asked about the $4.00 gas. His reply was " I don't mind $4.00 gas, I just wish it took longer to get there so they had time to get used to it".

OPEC and others KNOW obama wants expensive so they are taking advantage of the situation.

ARE YOU USED TO IT YET?????

July 02 2013 at 12:44 AM Report abuse rate up rate down Reply
1 reply to John Perry's comment
setanta54s_back

WHO'S IN CHARGE ?
whO's BEEN RUNNING and DICTATING OUR ENERGY POLICIES ?

only the morons DELIBERATELY DESTROYING our economy and WAY OF LIFE and their minions in congress.

time for the REAL CHANGE.

July 02 2013 at 10:16 AM Report abuse +1 rate up rate down Reply
eusonjj

The price of gas includes the taxes collected. Does the survey compare the taxes? No so. Canada pays higher for gas than we do even though they are an exporter of oil. Why? Taxes. Federal, Provincial, City and add GST on top of that. No wonder they pay more.

July 01 2013 at 11:19 PM Report abuse rate up rate down Reply
1 reply to eusonjj's comment
stvhndyman

Every country pays the same for crude oil and they all pay in US dollars. Glad the $ is so weak compared to the Euro, otherwise the price of gasoline would be higher here.
Hello, of course the difference at the pump is the taxes.

July 02 2013 at 3:26 AM Report abuse rate up rate down Reply
pstxjeff

o

July 01 2013 at 11:16 PM Report abuse -1 rate up rate down Reply
Gene

Ironic...when Bush was in office and gas was $1.69 a gallon, they accused him of making his gas buddies rich. Now it's over twice as high and were told we have it good. Next they will pee on us and tell us its raining.

July 01 2013 at 11:00 PM Report abuse +2 rate up rate down Reply
1 reply to Gene's comment
gvari

Check the gas prices in 2008. They were above 4 dollars.

July 02 2013 at 2:54 AM Report abuse rate up rate down Reply
1 reply to gvari's comment
setanta54s_back

yeah and for HOW LONG and WHO WAS RESPONSIBLE ?

daaaabush did NOT DICTATE THE ENERGY POLICIES.

July 02 2013 at 10:18 AM Report abuse +1 rate up rate down
hillchas

Keep trying to convince us...... Stare at the shiny object..... concentrate.... your eyelids are getting heavy.... your getting sleepy.... sleepy..... just keep going to work and paying your taxes while we slowly try to kill you.

U.S Government

July 01 2013 at 10:47 PM Report abuse +2 rate up rate down Reply
setanta54s_back

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

Artist: Lee Greenwood
Song: Proud To Be An American

If tomorrow all the things were gone,
I’d worked for all my life.
And I had to start again,
with just my children and my wife.

I’d thank my lucky stars,
to be livin here today.
‘ Cause the flag still stands for freedom,
and they can’t take that away.

And I’m proud to be an American,
where at least I know I’m free.
And I wont forget the men who died,
who gave that right to me.

And I gladly stand up,
next to you and defend her still today.
‘ Cause there ain’t no doubt I love this land,
God bless the USA.

July 01 2013 at 10:45 PM Report abuse -1 rate up rate down Reply
1 reply to setanta54s_back's comment
setanta54s_back

Artist: Lee Greenwood
Song: Proud To Be An American


From the lakes of Minnesota,
to the hills of Tennessee.
Across the plains of Texas,
From sea to shining sea.

From Detroit down to Houston,
and New York to L.A.
Well there's pride in every American heart,
and its time we stand and say.

That I’m proud to be an American,
where at least I know I’m free.
And I wont forget the men who died,
who gave that right to me.

And I gladly stand up,
next to you and defend her still today.
‘ Cause there ain’t no doubt I love this land,
God bless the USA.

And I’m proud to be and American,
where at least I know I’m free.
And I wont forget the men who died,
who gave that right to me.

And I gladly stand up,
next to you and defend her still today.
‘ Cause there ain’t no doubt I love this land,
God bless the USA

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

July 01 2013 at 10:46 PM Report abuse rate up rate down Reply
1 reply to setanta54s_back's comment
setanta54s_back

now WHO REMAINS THE MORON
WHO IS JUST LIKE moooochelle ?

and NOT PROUD to be an AMERICAN ?

July 02 2013 at 10:19 AM Report abuse rate up rate down
knarf714

This story is nonsense, there are no government "subsidies" of gasoline. In fact, the government makes more money per gallon that the manufacturere of the product. Thef fact that the government gouges the consumers more in Europe that they do here is not an indication that we have it better.

.The components for the gasoline fuel pumps are calculated in the following manner in cents per gallon and then converted into a percentage:

Crude Oil – the monthly average of the composite refiner acquisition cost, which is the average price of crude oil purchased by refiners.

Refining Costs & Profits – the difference between the monthly average of the spot price of gasoline (used as a proxy for the value of gasoline as it exits the refinery) and the average price of crude oil purchased by refiners (the crude oil component).

Distribution & Marketing Costs & Profits – the difference between the average retail price of gasoline as computed from EIA’s weekly survey and the sum of the other 3 components.

Taxes – a monthly national average of federal and state taxes applied to gasoline or diesel fuel.

It should be noted that the second and third components can vary widely, depending on the time when the components are being calculated. Since there is typically a lag between when the spot price changes to when the retail price changes, the refining costs & profits component and the distribution & marketing costs & profits component can vary from month to month. For example, as prices increase on the spot market, often the retail prices take time to adjust. Thus, at this point in the cycle, the refining costs & profits component (assuming no corresponding increase in crude oil prices) would be relatively large while the distribution & marketing costs & profits component would be relatively small. However, later on, as retail prices “catch-up” with the previous spot price increases, the distribution & marketing costs & profits component would increase while the refining costs & profits component would decrease.


The actual profit to the manufacturere is about 9 cents per gallon. In my state the total of state and federal taxes is 69.7 cents per gallon. So the government makes more than 7 times what the manufacterer makes per gallon of gas.

July 01 2013 at 10:39 PM Report abuse +1 rate up rate down Reply