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January 29, 2008

Gasoline Price and Inflation

by Jack Lee

What would a gallon of gas cost today if it kept up with the same rate of inflation as a dollar? Answer $2.17. To find out what anything would cost based on that rate of inflation multiply it by a conversion factor of 7.51. In 1955 gasoline was about .23-.29 cents. I used the upper number and multiplied it by the conversion factor (CF) as suggested by this site http://oregonstate.edu/cla/polisci/faculty-research/sahr/cv2006.pdf.

Posted by Post Scripts at January 29, 2008 09:24 PM

Comments

Jack, is that with or without taxes?

Posted by: Tina at January 29, 2008 10:05 PM

If you remove all the taxes, $2.17 would be just about right.

Posted by: Toby Stahler at January 31, 2008 10:08 AM

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