The Energy Information Administration of the U.S. Department of Energy provided time series data for the U.S. average price per gallon of conventional regular gasoline between January 2007 and March 2012 (Energy Information Administration website, April 2012).

Use the Internet to obtain the average price per gallon of conventional regular gasoline since March 2012.

a. Extend the graph of the time series shown in Figure 1.1.

b. What interpretations can you make about the average price per gallon of conventional regular gasoline since March 2012?

c. Does the time series continue to show a summer increase in the average price per gallon?

Explain.

Transcribed Image Text:

FIGURE 1.1 U.S. AVERAGE PRICE PER GALLON FOR CONVENTIONAL REGULAR GASOLINE $4.50 Average Price per Gallon $4.00 $3.50- $3.00 $2.50 $2.00 $1.50 $1.00- $0.50 $0.00 Jan 07 Aug 07 Mar 08 Oct 08 May 09 Dec 09 July 10 Feb 11 Sep 11 Mar 12 Date Source: Energy Information Administration, U.S. Department of Energy, March 2012.