Wednesday, January 12, 2022

The Price of Gasoline Isn't That High

Some people are complaining about the price of gas, and ok it is at a 7-year high. But both nominally and adjusted for inflation, it's been significantly higher much of the time over the last 15 years:

Gasoline prices here are the weekly US national average from the EIA's This Week in Petroleum, adjusted via the Consumer Price Index. The blurriness is brought to you by Google (who owns Blogger). Click on the graph to get a clearer version.

I keep track of what I pay for gas, and my mileage, and while I haven't adjusted it for statewide inflation here is what I've paid since two years before I moved to Oregon in 2006:

So there hasn't been much of any increase here, and would obviously be a slight decrease over time if adjusted for inflation. 

I think people (that is to say, Americans) just like to complain about the price of gas no matter what, think they have an inherent right to $2/gallon gasoline, and imagine their political leaders can do something about it (as I once sort of did). But it's mostly a function of the price of oil:


Layzej said...

They should adjust for salaries rather than inflation. Otherwise all they're saying is:

"The Price of Gasoline Isn't That High" (It's just that the value of money is quite so low.)

For example, inflation went up over 5% last year. How many got >5% raise?

David Appell said...

I'll do that later today or this weekend.

David Appell said...

Have a look at my new post.