40% of the price is based on the global market price of crude oil, which is about $ 117 per barrel as of Monday, according to Yahoo Finance. That’s US $ 68, double the oil price in December 2021.
University of Regina Professor Jason Childs of Economics says there is a lot of saved money in people’s pockets from the pandemic, which will probably be spent on gas.
“There are pockets of people who continue to pay the amount paid before the pandemic, but their costs have dropped significantly. The system has money and is likely to be used as fuel,” Childs said. Stated.
Oil demand during a pandemic has dropped significantly. Demand recovered as countries, including Canada, reopened and people traveled more. Countries like China still have extensive health protocols in place and are not at full capacity.