Record Low Gas Prices Ignored by Media

So I was watching a movie from the early 1960’s and noticed a gas station in the background with gas at 32 cents a gallon.  To adjust for inflation from the early 1960’s to today’s money you multiply by 7 meaning the adjusted price of gas in Texas being bought by Paul Newman in Hud in 1962 was $2.34.  The price of gas in Huntington Beach being bought by Ron St. John in 2008 is $1.64.  What happened?

I don’t like statistics spoon-fed to me by someone with an agenda so I used multiple sources and a choice of once every ten years for as far back as I can go, and used the CPI figures off the BLS site to come up with a history of gas prices, resulting in the following:

1920 – .30 (adjusted for inflation $3.41)

1930 – .20 (adjusted for inflation $2.70)

1940 – .18 (adjusted for inflation $2.92)

1950 – .27 (adjusted for inflation $2.58)

1960 – .31 (adjusted for inflation $2.33)

1970 – .36 (adjusted for inflation $2.10)

1980 – 1.25 (adusted for inflation $3.38)

1990 – 1.13 (adjusted for inflation $1.88)

2000 – 1.49 (adjusted for inflation $1.96)

My beef is that when the price of gas spikes upward the media treat it like a disaster/crisis as if we’ve been invaded by a foreign army, and every business-hating left-wingnut gets hysterical about ‘greedy’ oil companies.  Then when reality intrudes and prices prove that the market does work, and if anything technological improvements tend to make the commodity cheaper over time in real terms.  But the silence is deafening over ‘news’ like this and some other crisis du jour dominates the headlines.

About Ron St. John