Thanks, Obama! Iran Deal Could Cut Gas Prices Down To $2 A Gallon

Indrani Sengupta
The Iran deal will rein in Iran's nuclear program AND cut back gas prices in the US. Like killing two problem-birds with one political stone.

After 20 months of negotiations, the United States and five other nations have finalized a nuclear deal with Iran. Under this agreement, Iran will roll back its nuclear program, in exchange for the lifting of economic sanctions that have prevented it from competing in the global energy market.

iran nuclear negotiations

Iran holds the fourth-largest oil reserves, but its exports have nearly halved since these sanctions were first imposed. And as for America, it’s kind of hard to keep your gas prices down when you’re simply not getting as much as you would have otherwise.

iranian oil

But the new deal is expected to lower these prices. As The Wall Street Journal explains:

“Ramping up oil exports will likely add to current oversupply in the global market and pressure oil prices further.” 

Not to mention the fact that the deal also “prevents Iran from obtaining a nuclear weapon.” That’s neat, too.

Iran Warning

Gas prices have already begun to fall, and it won’t be too long before Americans will be able to pay $2—or even less!—for a gallon of gas.

iran nuclear deal news

Tom Kloza, chief oil analyst at the Oil Price Information Service, says that:

“Once we get past Labor Day, we should see gas falling by 10 to 15 cents a month. By December a lot of places are going to see gasoline at $2 or less.”

And the best part? The negotiations were peaceable.

Recommended: Guess Who’s Not Happy About The Historic Iran Nuclear Deal?

Obama News

But a number of Republicans aren’t too pleased, claiming that the deal represents “an act of surrender to an enemy state.” Which is a rather arrogant line of thinking—the notion that any concession the US makes to a smaller, weaker country will render it less that utterly, totally omnipotent.

Oil prices jump after Iran nuclear deal

But America has never been omnipotent.

As The Atlantic’s Peter Beinart puts it, the new deal:

"codifies the limits of American power. And recognizing the limits of American power also means recognizing the limits of American exceptionalism."

And some of us are uncomfortable with that.

World Map

Instead of clinging to the pipe dream of perfect American power, maybe we should turn our attention to practical, actionable, and peaceful gestures like the one finalized today. Maybe that’s the version of America we should be chasing.