Re: cost of CDs, inflation ...

["A. Joseph Ross" <lawyer@attorneyross.com>]

On 5 Jan 2003 at 9:50, tony schinella wrote:

> The inflation argument is an interesting one. Although, I like to joke
> with other friends that when I made a third of what I do now, I could
> afford to buy two or three records a week. Rents/mortgages, family costs,
> car payments, etc. have slowly chipped away at the disposable incomes of
> our youth. However, in 1985, you could get an LP for $4.99 on sale at
> Tower Records in NYC. So, in 15 years, the price has pretty much doubled,
> unless you pay full price at Wal-Mart, in which case it has tripled. I
> know rents have doubled and tripled in the same amount of time. Paperbacks
> have doubled in price during the last 10 to 15 years from $4 to $7-$8. But
> gasoline hasn't. Two weeks ago, before the latest jump, gas was priced
> $1.30 a gallon [now, it is back up to $1.40]. Between 1987 and 1997, gas
> prices pretty much stagnated between 90 cents and $1.05. But then again,
> blank cassettes haven't increased much and blank CDs have actually dropped
> in cost, so, I don't know.

But gasoline prices went up considerably in the 1970s.  In the 1950s, a gallon of gasoline 
cost under 30 cents a gallon, and an LP record cost something like $3.98.  So the 
comparison depends entirely on where you pick your dates and which comodities you 
compare it to.

The appropriate comparison is probably some flavor of the Consumer Price Index, which is 
based on a much wider market basket.
 
-- 
A. Joseph Ross, J.D.                           617.367.0468
 15 Court Square, Suite 210                 lawyer@attorneyross.com
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