SRFireside
join:2001-01-19
Houston, TX
| reply to Beeper
Re: deregulation = price increases
Can't really factor inflation for gas as it is a commodity. Just look at the how that chart flies up and down. In 2003 when Bush said he wanted to invade Iraq gas prices were at about $1.30 where I lived. Two years later and the price has gone up 70%. There is no way you can say that's just the adjustment for inflation.
On top of that I remember gas being as low as $.75 per gallon back in 1998. That would mean the prices went up about 280% in just seven years. This has nothing to do with inflation. It's commodity pricing and goes by very different rules of economics. |
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Beeper
Part Of The Problem
join:2001-09-27
Dayton, OH
clubs:
| I don't see it fly up and down, except when Ronald Reagan deregulated oil price controls. There was a sharp spike downward.
I see it sell in a fairly narrow band over a 20 year period.
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Guaranteed Fear and Loathing. Abandon all hope. Prepare for the Weirdness. Get familiar with Cannibalism. |
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SRFireside
join:2001-01-19
Houston, TX
| Normally when you see items costs on an inflationary scale you see a steady rise and/or a steady decline based on production costs, demand, cost of living, etc. Here you see spikes and jumps of prices going up and down in an erratic pattern. Sure it looks like most of it stays between $1.25 and $1.60 per gallon over most the decade, but again on most markets you don't see such a continued flux.
I didn't start driving a car until around 1986 so I don't have any recollection of gas prices before then. Do remember gas prices being really low when I was driving. You'll have to fill me in on Reagan's price deregulation scenario. Not sure what that means and how he can have OPEC abide by them. |
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Beeper
Part Of The Problem
join:2001-09-27
Dayton, OH
clubs:
| said by SRFireside  : You'll have to fill me in on Reagan's price deregulation scenario. Not sure what that means and how he can have OPEC abide by them. The policy was to try to protect US consumers from high oil prices by setting the price of oil. The consequence was that no one had oil.
After Reagan deregulated, oil shortages disappeared and prices fell sharply.
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Guaranteed Fear and Loathing. Abandon all hope. Prepare for the Weirdness. Get familiar with Cannibalism. |
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