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This graph is in error. Historically the price of gas has been declining over the period shown, if actual inflation figures were used. The NYT uses government
by BitGeek 19y ago
This graph is in error. Historically the price of gas has been declining over the period shown, if actual inflation figures were used.
The NYT uses government provided CPI based inflation- and CPI is based in part on the price of gas, etc... and chronically under-reported... thus trying to represent the price of gas adjusting for "inflation" measured by the price of gas doesn't really work.
Real inflation-- which is defined as growth in the money supply- would show that the price of gas has declined strongly over this period-- primarily because of the effects of the "robber barrons" who drove down prices to gain market share, and because productivity has made gas a much safer and easier item to get from oil... though I expect in recent years the prices would be going up because of increased government regulation and asinine "environmental" requirements.