Gas Prices-Common Sense

Gas Prices -Common Sense

Gas Prices won't be the headache they seem if common sense prevails. Use the minimum wage as an inflation index; and reference the price per gallon in terms of its ratio to the minimum wage. Example ... In 1965 when the minimum wage was about $1 per hour; gasoline cost about 15-20 cents per gallon. (maybe one fifth the minimum wage 20%). Today ... the minimum wage is $5.75 on the average, and 20% of that per gallon would be about $1.25 ... today's average price at $2.00 is about 38% of the minimm wage. After the Oil Embargo and OPEC, it wasn't unsual for the gasoline price to reach 50-75 cents per gallon; while the minimum wage in 1973 was about $1.50.