High gasoline prices and the dismal economy are expected to dampen travel over the Fourth of July weekend, the traditional kickoff of the summer vacation and travel season.

While gasoline prices increased 68 cents a gallon over 11 consecutive weeks until slightly dropping this past week, they are still are far lower than record-high prices a year ago.

Gas prices typically hit yearly highs this time of year as demand peaks, so the rest of the summer may yield some savings, analysts say.

Regular self-serve gas in Massachusetts fell an average of 2 cents from last week, averaging $2.61 per gallon, according to AAA Southern New England.

That is up 99 cents since the start of the year, but $1.45 less than the $4.06 found this time last year. Gas prices in Rhode Island are down for the first time in 11 weeks, averaging $2.69 a gallon, a drop of 1 cent from last week, AAA said.

For this holiday weekend, AAA projects a 2.6 percent decline in auto trips from 33.4 million last year to 32.6 million.

AAA said the projected dip in travel is mainly due to uncertainty about the strength of the economy. The rise in gasoline prices until this past week also is causing some travelers to limit their travel plans, AAA added.

"Many Americans remain cautious about the outlook for their personal finances and these attitudes are reflected in the slight decline in travel we are forecasting," said Lloyd P. Albert, AAA Southern New England's senior vice president of public and government affairs.

"Those who do vacation this summer will find attractive discounts," he said.

The number of Americans traveling this holiday weekend is expected to decrease 1.9 percent from last year, with about 37.1 million travelers taking a trip of 50 or more miles away from home,

Eighty-eight percent of Americans planning to travel will do so by car.

Although air travel will account for only 5 percent of July 4th travel, it is expected to jump 4.9 percent over 2008 due to declining airfares and pent up demand from those who have not taken a vacation trip by air in some time, AAA said. Two million air travelers are expected.

New Englanders will stay closer to home, with an average roundtrip distance of 414 miles, 200 miles less than the national roundtrip average.

Though down from a year ago, 17 percent of the New England population is expected to travel this holiday - the largest percentage of any region in the country, AAA said. Find the most up-to-date local gas prices with the AAA Fuel Finder by logging onto AAA.com and clicking on Gas Saving Tips