DETROIT -- President Barack Obama warned Americans that cheap gas prices won't last indefinitely, and he is standing by his support of small, fuel-efficient vehicles.
"I would strongly advise American consumers to continue to think about how you save money at the pump because it is good for the environment, it's good for family pocketbooks and if you go back to old habits and suddenly gas is back at $3.50, you are going to not be real happy," Obama told The Detroit News ahead of his visit to Ford's assembly plant in Wayne, Mich.
Obama said "folks should enjoy" low gas prices, but cautioned that they won't be around forever. Americans could sock away some of the money, "or better yet" buy a new car or new appliance, he said.
"The American people should not believe that … demand for oil by China and India and all these emerging countries is going to stay flat. Just demographics tell us demand is going to continue to grow, that over the long term it will grow faster than supply, and we have to be smart about our energy policy," Obama said.
Click here to view the full Detroit News report.
AAA has estimated that Americans saved about $14 billion on gasoline in 2014 compared to 2013, based solely on monthly prices and consumption. U.S. households in 2014 saved an average of about $115 on gasoline compared to the previous year. The majority of these savings came during the last few months of 2014. Consumers saved an even larger $22 billion on gasoline compared to 2012.
"U.S. drivers ended the year on a high note with gas prices plummeting over the last few months," said AAA spokesperson Avery Ash. "Cheaper gas prices have helped to improve the economy by boosting both consumer confidence and disposable income."
The annual average price of gasoline in 2014 was $3.34 per gallon, according to AAA, which was about 15 cents less than 2013's annual average of $3.49 per gallon. In other recent years, gas prices have averaged $3.60 (2012), $3.51 (2011) and $2.78 (2010).
The highest daily national average of 2014 was $3.70 per gallon on April 28, while the lowest was $2.26 per gallon on December 31.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.