How Much Did Gasoline Cost in 1982?

It is hard to answer the question of how much gasoline cost in 1982 because the price of gasoline at any given time varies depending on where you’re located and what type of gasoline you’re talking about. Still, it is possible to estimate the average cost nationwide.

The average cost in the United States of a typical gallon was $1.32.

Causes for Increasing Costs

When looking at the cost of gasoline, you might be amazed that it cost so much less than it does now. The changes in gas prices over the years have been dramatic, particularly in the last ten years or so, when the prices have gone up dramatically and had a somewhat major effect on the US economy.

Analysts could spend their lifetimes evaluating why gas is more expensive in 2010 than it was in 1982, but in general you should know that the price is determined by a few key factors:

• Cost of crude oil to the refinery (in 2004, this averaged $37 a barrel; in 2005, it had risen to $50 a barrel)
• Cost of the refining process
• Costs of marketing and distribution, including distribution to retail location
• Retail overhead
• Taxes (Federal, state, and local)

The price of gas can and does fluctuate dramatically from year to year. Particularly when you consider that the price is affected by the supply of crude oil, which is altered by our relations with the Middle East as well as environmental restrictions, the picture begins to fall into place. The market for crude oil has grown more complex, more political, more limited, and more expensive since 1982, and the price hike you’re seeing at the gas pump is one of many consequences.