jump to navigation

Record Oil Prices!?! Not Really. May 4, 2006

Posted by Zack W. Handley in Enough Already, General Musings.
trackback

As Ron Bailey writes:

With some headlines blaring about "record oil prices," a bit of perspective is in order.  It is true that in nominal dollars, the price of crude oil has never been higher.  However, in inflation-adjusted terms, the picture looks somewhat different.  It turns out that the price for a barrel of oil peaked at about $98 in December 1979.

Still oil prices have tripled in the past four years, but the economy nevertheless chugs along.

[T]he price of oil would need to double from today's $70 per barrel to have the same impact on the U.S. and world economy that prices had during the 1970s oil crisis.

Advertisements

Comments»

No comments yet — be the first.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: