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Location: Moose Jaw, in between the Moose's butt and nose.
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I admit I don't know since gas prices really did not affect me back then (I was only 17 and didn't really drive). Gas prices are at an absurd amount and the highest in history in the US. They are higher than mid 1981, which is the last time that they have been as compartively high (in todays inflation adjusted $). However, slowly but surely they went back down to more manageable levels, like hovering around 1 dollar per gallon up until say the late 1990s. Even during Gulf War 1, the price of gas never really exploded big time like it has during the last 6 years (thanks GWB).
So my question is, what caused the price to dip and stay awat from the 1981 levels for at least 10 years? Is there a chance that that can happen again. I, again, don't know much to come up with an answer to that question, seemingly, Reagan was not in bed with the oil companies like W and Cheney are and the US dollar seemed a lot stronger back then. Is there any chance that history could repeat itself, once W leaves office? Or that the growth of China and India, as they became more westernized, screwed gas prices forever?
Thanks.
PS. While I know I mentioned W's name a few times, come on, you have to be like Limbaugh or Hannity to really believe that his war has not caused at least 33% of the problem or more.
The 1970's oil shock was caused mostly by the political situation, including Arab embargos, cutbacks, and that sort of thing.
Today, producers are mostly pumping out as much as they can. There is no embargo. It's just that demand around the world keeps rising, and the US dollar keeps sinking. The combined effect is, of course, higher energy prices in the United States.
Had you held your cash in Euros, for example, you wouldn't be feeling the prices as much.
If you look at gas prices in the western world then you have to come to the conclusion that gasoline is still cheap here and that the oil cmp[anies have done a pretty good job. In the UK the other day prices wre equavlent to $8.80 per gallon. That factors in the dollar value.It is just the conspiracy nuts that bel;ieve that gas is being set by wgo is president. Congress has further this by having hearing for political purpose to take advantage of the ignorant vote.In the end they have gotten no where as far as some vast conspiracy;and you don't see other western countries having these political circus'.In the end whgat it does is give cover to a congress that does no0thing but talk about energy.
If you look at gas prices in the western world then you have to come to the conclusion that gasoline is still cheap here and that the oil cmp[anies have done a pretty good job. In the UK the other day prices wre equavlent to $8.80 per gallon. That factors in the dollar value.It is just the conspiracy nuts that bel;ieve that gas is being set by wgo is president. Congress has further this by having hearing for political purpose to take advantage of the ignorant vote.In the end they have gotten no where as far as some vast conspiracy;and you don't see other western countries having these political circus'.In the end whgat it does is give cover to a congress that does no0thing but talk about energy.
The difference in pump price between Europe and the US is taxes.
I admit I don't know since gas prices really did not affect me back then (I was only 17 and didn't really drive). Gas prices are at an absurd amount and the highest in history in the US. They are higher than mid 1981, which is the last time that they have been as compartively high (in todays inflation adjusted $). However, slowly but surely they went back down to more manageable levels, like hovering around 1 dollar per gallon up until say the late 1990s. Even during Gulf War 1, the price of gas never really exploded big time like it has during the last 6 years (thanks GWB).
So my question is, what caused the price to dip and stay awat from the 1981 levels for at least 10 years? Is there a chance that that can happen again. I, again, don't know much to come up with an answer to that question, seemingly, Reagan was not in bed with the oil companies like W and Cheney are and the US dollar seemed a lot stronger back then. Is there any chance that history could repeat itself, once W leaves office? Or that the growth of China and India, as they became more westernized, screwed gas prices forever?
Thanks.
PS. While I know I mentioned W's name a few times, come on, you have to be like Limbaugh or Hannity to really believe that his war has not caused at least 33% of the problem or more.
Americans gave up their gas guzzler cars, the federal government under Jimmy Carter's leadership passed fuel efficiency standards with some meat in them, and as a result consumption of oil dropped. That started in 1979 and by 1981 demand had dropped enough that prices collapsed.
Americans tend no to remember lessons very well so here we are driving Suburbans and Hummers because it makes us feel like Rambo. "Life is tough; it's tougher if you're stupid." -- Marion Morrison
I thnik it was the fact that prices quickly went up thripe in orice in a short time ;not over several years. Then there was the fact that back then people were dealing with DOUBLR digit inflatrion . It got so bad Carter put price controls in effect because nothing he did worked.The economy was really in the dumps compared to now. But in the end peole will at some point start to hurt enough that the will cut back;but that point has gotten there like in the 70's just yet.Remeber also that world consumption was not at the critical levels it is how;the embargo caused that problem.
This posting had me thinking back on prices of gas.
When I began driving in 1968, gas prices were about $.35 a gallon. Using the Bureau of Labor Statistics Inflation Calculator this would translate into a current equivalent price of $2.15 per gallon today.
Back then I had a VW Beetle, and got about 25 MPG. A Honda Civic or Toyota Corolla would get at least 5 MPG better than my old Beetle, so I guess the cost per mile hasn't really increased that significantly, and with a much heavier, roomier, more powerful, more comfortable and much safer vehicle.
Location: Moose Jaw, in between the Moose's butt and nose.
5,152 posts, read 8,526,495 times
Reputation: 2038
Quote:
Originally Posted by rlchurch
Americans gave up their gas guzzler cars, the federal government under Jimmy Carter's leadership passed fuel efficiency standards with some meat in them, and as a result consumption of oil dropped. That started in 1979 and by 1981 demand had dropped enough that prices collapsed.
Americans tend no to remember lessons very well so here we are driving Suburbans and Hummers because it makes us feel like Rambo. "Life is tough; it's tougher if you're stupid." -- Marion Morrison
This is an answer that helps and actually the ?. A couple of folks on here tried to say that Bush had nothing to do with these prices, which is partisan. Again I did not say Bush had everything to do with it, but his decisions have had something to do with it
Last edited by beenhereandthere; 04-23-2008 at 05:27 PM..
Reason: additonal point
This posting had me thinking back on prices of gas.
When I began driving in 1968, gas prices were about $.35 a gallon. Using the Bureau of Labor Statistics Inflation Calculator this would translate into a current equivalent price of $2.15 per gallon today.
Back then I had a VW Beetle, and got about 25 MPG. A Honda Civic or Toyota Corolla would get at least 5 MPG better than my old Beetle, so I guess the cost per mile hasn't really increased that significantly, and with a much heavier, roomier, more powerful, more comfortable and much safer vehicle.
VW = 25 mpg @ 2.15/gal = .086 cost per mile
10K imiles per year = $860.00
Honda = 30 MPG @ 3.50/gal = .117 cost per mile
10K miles per year = $1170.00
VW = 25 mpg @ 2.15/gal = .086 cost per mile
10K imiles per year = $860.00
Honda = 30 MPG @ 3.50/gal = .117 cost per mile
10K miles per year = $1170.00
Yep, it doesn't translate to that much of an increase when you factor in the differences between vehicles (I know that wasn't what you were attempting to show).
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