[stocksthatgoup]

[Uncle Miltie]

Dr. Williams accounting for inflation is only part of the puzzle. Since we are so much more productive and therefore well-paid than in the '50s, we can AFFORD to pay more for gas. The price of gas in hours worked / gallon has DECLINED substantially in that time.

I haven't seen the math done yet, but I'll bet it is something like 30 minutes of work per gallon in the '50s, compared to 15 minutes of work per gallon now.

[Hatteras]

Filled up the company car this morning at $2.88/gal. at the local Exxon. Just drove by the same station on my way back and it was $2.95/gal.

A privately owned station about a block away that usually has lower prices if you pay cash has $3.29/gal. posted on their sign. Didn't see any customers though...

[jude24]

Price controls would be unjustified except for one critical point: the oil companies are posting record profits. If they were struggling to make ends meet, then high gas prices would be unjustified. But, as Exxon and other oil companies are buying back their stock, they are enriching themselves while working Americans bend over and take it.

If prices were high because the oil was expensive, I'd have no problem paying $3.00/gallon. That's not the case, however. Prices are high because the market has to buy their product, so the oil companies can force people to buy it.

I support a Windfall Profits Tax. And don't give me the "troll" garbage. I've been here since Sept. 2000. The simple fact of the matter is that these oil companies are on the way to actually derailing the American economy. 100 years ago, when coal strikes threatened the American economy, the military seized the coal mines and ensured the uninterrupted supply of coal. We need to do the same for oil now.

[1Old Pro]

We don't need price controls, we need more SUPPLY. Thus, we need more drilling and more refineries. We can lessen demand by using coal and nuclear power plants instead of natural gas powered plants..

[Lx]

Checked last night, lowest $2.95, highest $3.05 for premium. I'm all for making a profit but don't make over a billion in profits in one quarter and then have the nerve to say we're not gouging.

[delacoert]

In 1950, a gallon of regular gasoline sold for about 30 cents; today, it's $2.50.

Some corrections:

1. A gallon of regular gasoline sold for 30 cents in 1964.
2. Today it's about $3.00.

   Using MY trusty inflation calculator, what cost 30 cents in 1964 costs $1.81 in 2005. In real terms, that means gasoline prices today are significantly higher, about 66 percent, than in 1964.

A couple of other points:

1. The annual profits of oil companies today relative to those in 1964 (or 1950) is more relevant comparison.
2. The portion of our household budget that we are prepared to pay today relative to the proportion of our household budget in 1964 is also a relevant number.

What the hell motivate economists to try to tell us we really aren't paying more?

[Uncle Miltie]

Oil is 120% more affordable than it was in 1980.

In 1980, the average American's inflation adjusted annual disposable income could buy 180 barrels of oil.
In 2005, the average American's inflation adjusted annual disposable income can buy 400 barrels of oil.

In 1980, disposable income per person was $16,940.
In 2004, disposable income per person was $27,230.
(Constant 2000 dollars)

In 1980, a barrel of oil cost $94.
In 2005, a barrel of oil costs $68.
(Constant 2004 dollars)