Gasoline cost per mile compares to ‘old days’
Media like your own use words like “crisis” to report the recent rapid rise in gasoline prices as some form of disaster. This is ridiculous. One of the few advantages of being old is that you benefit from knowledge of the past, much of which is characterized as “the good old days.”
Well, let’s look at the good old days. In 1968, gasoline was about 35 cents a gallon. At that time, few people ever complained about gasoline prices, much less calling them a “crisis.” Since then, because of inflation, the price of everything has gone up about six times (based on the Consumer Price Index). So that 35 cents per gallon of gas would cost $2.10 in today’s dollars, just because of inflation.
Moreover, in 1968 a car got about 12 miles to the gallon (and many people didn’t have a clue what their mileage was!). So, it took a little more than eight gallons to drive 100 miles. Therefore, it cost about $2.80 (or $16.80 in today’s dollars) to drive 100 miles in 1968.
Today, if you have a car that gets 25 mpg, you pay about $16.40 (four gallons at $4.10/gallon) to drive 100 miles. Big crisis.
Bill Stevens
Jamestown
Comments (2)
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The arbitrarily and speciously derived "CPI" index leaves out 2 important numbers. The first is stock prices and market prices. If stocks arent valued on price, then what is the method of exchange? The second is the item which consumers of all classes pay the most for..GOVERNMENT!..the price of neither item is considered in the "CPI"...and prices of both are a more reliable "leading indicator" than teeth whiteners, gasoline and white bread. Two larger market items are also deleted: pot and porn. The price of getting high and getting off are serious considerations, regardless of what communities say their stands are. You need to buy gas for both transactions. This could be a crisis.
Posted on July 20, 2008 8:22 AM
.. no gas needed if you grow your own and live with a stripper, Chucka ...
Posted on July 20, 2008 9:32 AM