Is the price of gas really increasing?
Well, yes, the price is increasing. It's up to $3 a gallon (or more in places like the Bay Area). But what about the real cost of driving 100 miles?
Adjusted for inflation, this number has not increased since 1979.
Here are the data. They are also discussed in this New York Times article. Basically, the cost/gallon was unusually low throughout the 1990s due to increases in fuel efficiency and a good supply of oil. Now we are seeing a "correction" back to the same cost/gallon of the late 1970s, and it feels painful by contrast.
Adjusted for inflation, this number has not increased since 1979.
Here are the data. They are also discussed in this New York Times article. Basically, the cost/gallon was unusually low throughout the 1990s due to increases in fuel efficiency and a good supply of oil. Now we are seeing a "correction" back to the same cost/gallon of the late 1970s, and it feels painful by contrast.
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