Question: Why are gasoline prices so high?

Answer: Experts say traders in the commodities markets might be speculating on supply situations that might develop in the next few months. Among the factors they appear to be considering is the state of the nation's oil reserves, which are at 17 days, an all-time record low. More oil is available in the Energy Department's strategic oil reserves, but the government has been reluctant in the past to tap into that supply. In addition, uncertainty about future OPEC production levels along with instability in major oil exporting countries such as Russia and Venezuela might have fueled the current spike. Also of note: China has become a bigger importer of oil.

Q: Is there a gasoline shortage?

A: No. OPEC, the cartel that controls about 40 percent of the world's oil production, has repeatedly stated that it is pumping enough crude to meet worldwide demand and that the current $35-a-barrel price has been caused by market speculation. The cartel also says it has no plans to boost production when its leadership meets next month. Many U.S. refiners are concentrating on making more home heating oil for an increasingly cold winter, especially in the Northeast. But many industry experts say that with travel demand at a traditional ebb after the holidays, there is plenty of gasoline to go around.

Q: Where does Greater Cincinnati's fuel come from?

A: It depends on the company. Covington-based Ashland Inc. operates a refinery in Ashland, Ky., and co-owns another refinery with Marathon Oil in Detroit. Clark operates a refinery in Lima, Ohio. Sunoco has a refinery outside Toledo. But gasoline can be trucked in from all over the country or pumped via pipelines over long distances from refineries to distribution sites. Wholesalers can buy gasoline from anyone and add special ingredients before selling it on the street. Other major refineries are located outside Chicago, in Louisiana and Philadelphia. Many non-branded independents buy gas with no additives from all over the country.

Q: If I want to save some money and use a lower octane gasoline than my vehicle calls for, will it hurt my vehicle?

A: Not many vehicles require the use of a higher grade of unleaded, which usually costs more at the pump. For cars or trucks for which a higher grade is recommended, a short-term switch to lower-octane regular should not cause long-term damage, experts say.

James Pilcher