https://thefederalist.com/2022/05/09/diesel-prices-hit-all-time-high-meaning-soon-so-will-the-costs-of-everything-you-buy/

Diesel Prices Hit All-Time High, Meaning Soon So Will The Costs Of Everything You Buy

Diesel prices reached a nationwide average of $5.54 per gallon on Monday, setting a new all-time record, according to AAA travel agency’s gas tracker. In March, the cost of regular unleaded fuel remained less than half a cent from its record high of $4.33 per gallon, at $4.328 on Monday.

These high fuel costs are just the first devastating drop, the negative effects of which will ripple throughout the entire economy, with increased transportation prices adding stress to inflationary pressures already shooting up the cost of goods and services. In March, the year-over-year inflation was marked at 8.5 percent, the highest rate since 1981. Bloomberg Economics predicts that U.S. households will spend another $5,200 this year, or $433 a month, for the same basket of goods as last year.

While diesel prices might not immediately alarm many consumers who rely on regular unleaded gasoline for routine transportation, tankers, trains, trucks, farming machinery and other industrial equipment rely on diesel.

“Diesel is the fuel that powers the economy,” Patrick De Haan, the chief petroleum analyst at GasBuddy, told CNBC. These increased costs are “certainly going to translate into more expensive goods.”

Despite the price increases, the Biden administration has continued to antagonize the oil and gas industry with a cascade of new taxes and regulations that hamper production.

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