Gas prices could drop below $2 per gallon in eight states as early as the beginning of 2015.
The falling gas prices in America are due to crude oil prices dropping by 10 percent ($7.54 per barrel), reported St. Louis Post-Dispatch.
Nationwide gas prices fell to an average of $2.79 per gallon at the pump. By the beginning of the new year eight states are expected to drop below $2, reported 247 Wall St. These states include Mississippi, Alabama, Louisiana, Texas, Oklahoma, South Carolina, Missouri and Tennessee.
These states have the lowest gas prices in the country mainly due to their sales tax rates.
Each of these states whose gas prices may drop below $2 are also located close to refineries, reducing the price of transporting the oil from refineries to retailers, reported 247 Wall St.
The states Mississippi, Alabama, Texas and Louisiana - who all could had gas prices below $2 after the new year - are located directly on the Gulf of Mexico and are close to the large refineries in Texas. Oklahoma and Tennessee border at least one of these four states, presumably helping make them part of this list as well.
This is the lowest gas prices have been in many of these states in about five years.
St. Louis Post-Distpatch reported that the average price of regular unleaded hasn't fell below $2 in the area since 2009.
