It seems so long ago and it certainly was a different world back then. But just before the events of Sept 11 2001 the cost of a barrel of crude oil was $18! Now it is over ONE HUNDRED DOLLARS! But what does a dollar buy now? Certainly it buys far less than it bought 7 years ago. We know that much for sure. After all, the mass media tells us every day about the incredible shrinking dollar. Integrating inflation we get a very different calculation of the cost per a gallon of fuel than our eyes tell us when we see a 3 or a 4 at the fuel station to the right of the dollar sign. If we consider the price of fuel commensurate to wages in 1920 we could now be facing a gallon of fuel costing over $10! It can assuredly be stated that the cost of a gallon of fuel has decreased since the 1920s consistently if factors such as inflation and wages are properly considered. Another fact that Americans have to be appreciative for in regards to one of the things that we most like to complain about, is the comparison of fuel prices in the USA compared to European prices. A gallon of fuel in Europe is now averaging $5 or more. And what is worse is that approximately one-half of that goes only to paying oppressive taxes! In America, the percent that you pay on a gallon of fuel that taxes account for, including inflation, which Dr Ron Paul correctly labels a tax, is about ? or just over 70 cents. Without inflation considered as a tax the amount is about fourty six cents or around 13% compared to 50% in Europe. (Of course we are also paying 10% inflation whether you want to label it a tax or not).
Now, let's compare what a gallon of fuel costs compared to one gallon of other consumable items if they were sold by the gallon, this is another eye opener. A gallon of milk is $2.99, which is quite close to a gallon of fuel which is presently roughly $3.25 or so. A gallon of shampoo would be around $40. A gallon of real maple syrup would be around $57. Jack Daniels would be around $100 per gallon! A gallon of Crisco oil would be around $75 and a gallon of nasal spray would be around $2.615!
So what is it about the price of a gallon of fuel that makes it such a big deal? I believe that there are two reasons and one is the profit margin of the oil companies and the other is the rapidity at which a gallon of fuel is consumed.
For instance, how long does a gallon of fuel last you? Ok, how long would a gallon of nasal spray last you (depends on the size of your nose I propose ha ha)? How long would a gallon of Jack Daniels last you? Maybe you shouldn't answer that one!
So that is one reason. And another is the profit margin of the oil companies keep and the perceived greed of these companies going back to Rockefeller and more recently to J R Ewing!! Exxon profited $8 billion from January through March of 2007. They average around ten percent profit on EACH dollar worth of fuel sold
So it is not the price of a gallon of fuel more a matter of how rapidly we use up a gallon of fuel and the incredible profit margin grabbed per gallon by rich bastards who we see as wanting to screw us for a dollar.
So the real solution is in how do we improve our MPG
And the best answer to that is by converting from gas to gas/hydrogen hybrid engines, thereby increasing our MPG by 20-30% or more. Or you can convert to a fuel cell hydrogen only system which means you will never have to purchase a gallon of gasoline for the rest of your life!
What is the relationship between the increasing price of gas at the pump and inflation? This is a simple supply demand issue. Supply drops, demand rises, prices rise. And this has nothing to do with inflation. Since fuel is in literally everything, there is no escape. . Oil is a primary component in plastics, for example. Here is a little exercise you can do to prove the point. Go walk around your house and tell me how much of what you have in that home would not be there were it not for some form of plastic! It's like the old shtick from Kentucky Fried Movie called ?Zinc Oxide and You? where the narrator takes zinc oxide out of the environment of a woman minding her own business in her kitchen and a car slams into her garage and her husband's pacemaker stops working and the oven catches fire, etc? it is in everything and so is plastic! Now that we have established that petroleum is an inescapable fact of life let's confront another inescapable reality. It's time to stop pretending. Deflation is here and it is now. Anyone who sees stagflation or inflation out of what's happening now is missing the boat. An explanation of deflation? During deflation, while consumers can buy more with the same amount of money, they also have less access to money (e.g., as wages, debt, or the return realized on sales of their products) . Consumers and producers who are in debt, such as mortgagors, suffer because as their (money) income drops, their (money) payments remain constant. Central bankers worry about deflation, because many of the tools of monetary policy become ineffective as inflation drops below zero (deflation). Deflation enters into a fast downward spin when companies stop or slow their investments and consumers stop spending. What Obscures Deflation?
The dissonant convergence of weak dollar, high oil prices, unemployment, the rapid drop in housing prices, people walking away from their homes and international arbitrage is far out of the power of the Federal Reserve to control. Bernanke will find it impossible to inflate out of this mess. How does one survive under such circumstances? The easiest one to remedy is getting raped at the gas pump. That turns out to be the easiest one to solve because of a new solution.
is sharing information at a low price which consumers can use at home to build a small gizmo which instills hydrogen into the fuel/air mixture that their car runs on. The process makes smaller particles out of the ones that the system uses as fuel. Because of the smaller size the engine gets to use a lot more of it. With WATER4GAS you can minimumly expect to increase your MPG by thirty to fifty percent or even more. With WATER4GAS gasoline is made usable so you can increase your MPG. It also helps make emissions substantially cleaner. This information has been purchased by over NINE THOUSAND people already and happy members number about 99%! So how about you?
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