Gasoline Prices Research Paper

College
Research Paper
Miscellaneous
Pages 2 (502 words)
Download 0
It is a basic principle of economics that if the demand increases, the price will rise. In the gasoline market this is seen during the summer months, when families plan vacations and the demand for fuel rises (Gasoline Prices). It is again seen in the winter as the demand for home heating fuel creates anther increase in price (Gasoline Prices)…

Introduction

I hypothesize that bright sunny weather causes gas prices to increase.
To conduct this study, data was gathered from the Seattle Queen Ann weather station available from the Weather Underground. The solar data that was used was the peak amount of solar energy during the day, which was used as an indicator of whether the day was sunny or cloudy. Gasoline prices were taken from Seattle Gas Prices, a web site that monitors and records the daily price of gas in Seattle. For this study, a two-month period from November 15, 2008 to January 15, 2009 was used. The two variables were plotted using Microsoft Excel and is presented in a graph as Figure 1. A logarithmic trend line was used on the solar energy variable to average out the swings in the data. If the hypothesis is true, the trend line for gas prices should follow the trend line for solar energy.
As can be seen in Figure 1, the relative gas price generally follows the logarithmic daily solar energy line from mid November to January 1, 2009. During the first week of January, there is some divergence, and the hypothesis does not hold true during this period. However, during the second week of January both the solar energy and the gas prices level out and again begin to prove the hypothesis true. ...
Download paper
Not exactly what you need?

Related papers

Research paper
Cooperative research projects are those that involve more than one institution and can be designed to be both multi-site and multi-protocol in nature. Each participating institution is responsible for safeguarding the rights and welfare of human subjects and for complying with all regulations. If this proposal has been submitted to another Institutional Review Board (or authorizing…
Rising Oil Prices
Fuel prices have risen and affected every nation in the world since the early years of this decade. Nandia Mongia (2008) reports that crude oil prices have increased in the world market from 22 U.S. Dollars up to almost $90 U.S. Dollars per barrel. This affected the prices of petroleum products like diesel, kerosene, propane, and gasoline and hit lower-income households. Figure 1 shows the rising…
Gasoline Economics
According to the above diagram, the positive in demand curve from D1 to D2 will result in increasing in price (P) and quantity (Q) of the gasoline. As a result the supply curve will shift to the right from S1 to S2. Equilibrium is the point where the quantity demanded equals the quantity supplied, thus there's no surplus of goods and no shortage of goods. Initially, E1 is the equilibrium point and…
Hybrid Cars Research Paper
You never plug in these cars to recharge the battery - you simply fill the gas tank.…
Gasoline Prices Research Paper
I hypothesize that bright sunny weather causes gas prices to increase.…
Gasoline Prices
Increased fuel prices forces American society to find alternative energy sources and motivates the government to invest more into research and development of the cars with less fuel consumption and improving efficiency of the refinery sector.…
Impact of Oil Prices on the US Economy
Although the rise in prices of oil has been large it has not been sudden and the economies of the major economic powers have adjusted to the change. The rise in oil prices will definitely result in an across the board change in prices and thus inflation rates will continue to be high. However the likelihood of this leading to a recession in the US and other large economies of the world is remote.…