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Chart of the Week: Inflation Adjusted Gasoline

Posted By Barry Ritholtz On August 17, 2005 @ 5:15 am In Commodities,Economy | Comments Disabled

Over the past century, as the industry became ever more
adept and efficient at finding, pumping and refining oil, Real Gas prices did
not keep up with inflation.
>

85 Years of Inflation Adjusted Gasoline

Real_gas_graphic_nyt [1]

Graphic courtesy of the NYT [2]

This long downtrend shows a minor spike in the 1930s, which
eventually reverted back to trend. There was a major spike in the 1970′s; It
subsequently collapsed in price some 50%, from $3 / gal to $1.50, over the 1980
to ’84 timeframe. It would not be outrageous to call that price action -
particularly the 1970s – bubble-like.

>

Random Items:

Balance of power will shift to the East as China and India evolve [3]

Fund Owners Suffer From the Regret-Aversion Blues [4]

Inflation: Up, down or sideways? [5]

Job Creation Isn’t What It Used to Be [6]

Consumers Bought Only Cars and Gasoline in July [7]

U.S. Science Research Is in Danger
[8](see also: Widespread Ignorance [9])

>
Quote of the Day:

"Winning can be defined as the
science of being totally prepared."
~George Allen, Football Coach


Article printed from The Big Picture: http://www.ritholtz.com/blog

URL to article: http://www.ritholtz.com/blog/2005/08/chart-of-the-week-inflation-adjusted-gasoline/

URLs in this post:

[1] Image: http://bigpicture.typepad.com/.shared/image.html?/photos/uncategorized/real_gas_graphic_nyt.gif

[2] NYT: http://www.nytimes.com/2005/08/13/national/13gas.html?ex=1281585600&en=7f335cd80c208515&ei=5090&partner=rssuserland&emc=rss

[3] Balance of power will shift to the East as China and India evolve : http://www.businessweek.com/magazine/content/05_34/b3948401.htm

[4] Fund Owners Suffer From the Regret-Aversion Blues : http://quote.bloomberg.com/apps/news?pid=10000039&refer=columnist_currier&sid=aMIsIpq9gG4M

[5] Inflation: Up, down or sideways? : http://www.marketwatch.com/news/story.asp?dist=&param=archive&siteid=mktw&guid=%7B4F2EF83E%2D2725%2D4C2A%2DA9F5%2DF68D716FB9C7%7D

[6] Job Creation Isn’t What It Used to Be: http://www.bloomberg.com/apps/news?pid=10000039&sid=a7XdRRZ3USF4&refer=columnist_baum

[7] Consumers Bought Only Cars and Gasoline in July : http://www.northerntrust.com/library/econ_research/daily/ us/dd081105.pdf

[8] U.S. Science Research Is in Danger
: http://online.wsj.com/article/1,,SB112379706031911287,00.html

[9] Widespread Ignorance: http://www.alternet.org/story/23964/

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