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Why Do Gas Prices Vary?

By: Lisa Brence
Updated: May 14, 2007
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What makes gas prices differ so much from city to city? Everything from location and taxes... to ingredients. Because of low taxes and nearby refineries, Charleston, South Carolinas, regular unleaded sits at $2.81 a gallon, and Tulsa, Oklahomas, average is $2.89 a gallon. Whereas cities like Chicago, Illinois, and San Fransisco, California, have some of the highest prices in the country, like $3.33 and $3.62 a gallon respectively. Both cities have high local taxes, little retail competition, and use specialty blends of gasoline. Source: Oil Price Information Service

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