The World's Highest Gas Prices:
1. Asmara, Eritrea — $9.59/gallon
2. Oslo, Norway — $7.41/gallon
3. Copenhagen, Denmark — $6.89/gallon
4. Hong Kong — $6.87/gallon
5. Monaco, Monte Carlo — $6.82/gallon
The World's Lowest Gas Prices:
1. Caracas, Venezuela — 6 cents/gallon
2. Tehran, Iran — 32 cents/gallon
3. Riyadh, Saudi Arabia — 45 cents/gallon
4. Kuwait, City, Kuwait — 85 cents/gallon
5. Cairo, Egypt — $1.17/gallon
So here we have a homogeneous product — pretty much the same in Caracas as it is in Asmara — ranging in price from 6 cents to nearly $10 a gallon. Why the big range? Looking at the list will offer the first hint: Most of the countries on the low-price list have lots of oil.
But another reason gas prices vary so widely is what the government does with gasoline. They control the price and/or consumption by loading on taxes, or in the case of Venezuela, subsidizing the price.