Thank goodness the media are obsessively covering the issue of contraception.
Michael Ejercitosays
In the short run, the price of gas is of course going up.
In the long run, gas is getting cheaper. George Reisman showed that in 2006, the price of a gallon of gas was $3.50, while an ounce of gold was $700. The price of gas in ounces of gold was 0.005 Au oz./gal.
In California, which has higher gas prices than the national average, gas today is $4.39/gal. An ounce of gold is $1759.30/oz. Gas is thus 0.002495 Au oz./gal.
To put it another way, had the price of gas in gold ounces remained constant, gas in California would be $8.79/gal. Or, had the price of gas in gold ounces been 0.002495 in 2006, the national average then would have been $1.74. This shows that we are nowhere near Peak Oil, as if we were, oil prices, and this gas prices, should have been increasing relative to gold, a reusable resource.
Gas is not the only resource that is rising in dollars but falling in gold. In 2006, a tall cup of coffee at Starbucks was $1.50. Today, it is $1.65- a 10% increase in dollars. But in gold, the prices were 0.0021428 Au oz. and 9.3787 E-4 Au oz., respectively, a decrease of 57%. If gold prices were still $700/oz, coffee would be $0.65. If gold prices in 2006 were $1759.60, coffee would have been $3.77.
The fact is that American dollars are getting cheaper at a faster rate than gas or coffee or pretty much anything except houses. That is why prices in dollars are rising.
Michael Ejercitosays
Thank goodness the media are obsessively covering the issue of contraception.
timothy, I post in EST, but live in PST (because the blog founder lives in EST). Will keep my camera with me today; maybe prices have gone up since I snapped the picture at about 11:50 AM PST.
TGCsays
It’s 4.39 at Shell, Santa Monica & Laurel.
TGCsays
Still $4.35 @ Fairfax & Beverly as of 3 hours ago.
Thank goodness the media are obsessively covering the issue of contraception.
In the short run, the price of gas is of course going up.
In the long run, gas is getting cheaper. George Reisman showed that in 2006, the price of a gallon of gas was $3.50, while an ounce of gold was $700. The price of gas in ounces of gold was 0.005 Au oz./gal.
In California, which has higher gas prices than the national average, gas today is $4.39/gal. An ounce of gold is $1759.30/oz. Gas is thus 0.002495 Au oz./gal.
To put it another way, had the price of gas in gold ounces remained constant, gas in California would be $8.79/gal. Or, had the price of gas in gold ounces been 0.002495 in 2006, the national average then would have been $1.74. This shows that we are nowhere near Peak Oil, as if we were, oil prices, and this gas prices, should have been increasing relative to gold, a reusable resource.
Gas is not the only resource that is rising in dollars but falling in gold. In 2006, a tall cup of coffee at Starbucks was $1.50. Today, it is $1.65- a 10% increase in dollars. But in gold, the prices were 0.0021428 Au oz. and 9.3787 E-4 Au oz., respectively, a decrease of 57%. If gold prices were still $700/oz, coffee would be $0.65. If gold prices in 2006 were $1759.60, coffee would have been $3.77.
The fact is that American dollars are getting cheaper at a faster rate than gas or coffee or pretty much anything except houses. That is why prices in dollars are rising.
We can trust the media to report honestly, accurately, and fairly on this issue, as they do with other issues .
Funny, it’s only 1:46 here in California, you’re posting in EST. Yes. unleaded regular gas jumped from 4.29/gal to 4.35/gal today, 3/2.
timothy, I post in EST, but live in PST (because the blog founder lives in EST). Will keep my camera with me today; maybe prices have gone up since I snapped the picture at about 11:50 AM PST.
It’s 4.39 at Shell, Santa Monica & Laurel.
Still $4.35 @ Fairfax & Beverly as of 3 hours ago.
http://tinyurl.com/7kt6rnz
Diesel goes up first. I expect another spike in gas prices soon.