An oil industry analyst says the drop in the price is likely to help the United States economy, but it will be short-lived.
The Energy Information Administration says gasoline prices dropped 1.5 cents per gallon last week to $3.98, down from $3,985.55 on Nov. 24.
The price of diesel fuel also fell 0.3 cents per gal to $1.73, while oil prices dropped 2.1 cents to $47.30 a barrel.
But the price for natural gas is still more expensive than the cost of gasoline.
The drop in oil prices will be temporary and will likely be followed by a rebound in gas prices, said Stephen J. Hemsley, an analyst at RBC Capital Markets in New York.
Gasoline prices are falling because the price has fallen more than oil prices because it is not a primary fuel.
It is cheaper for manufacturers to make oil and to use it in vehicles.
That makes it cheaper to make gasoline and to refine it, Hemsage said.
But that will change when natural gas prices come back up.
That could push prices back down again, and that could bring in more consumers.
Hamsley said natural gas could be more expensive because there is less supply.
