Why Gas is Charlie Sheen to Electricity’s Dick Clark

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Over at NRDC’s Switchboard blog, my friend Max Baumhefner has a pretty cool little electric-car-related post comparing oil prices to electricity prices over time. The whole thing is worth reading; there’s a lot of great detail and chart renderings to geek out on if that’s your thang. But the basic point is that while oil prices jump up and down in accordance with geopolitical events, electricity prices remain relatively stable.

Check out this chart by the Energy Information Administration (EIA):

Now look at this chart about electricity prices over the same time period:

You can see that electricity doesn’t correlate nearly as much with the news, but it’s a little hard to compare since the Y-axes are so different. Here’s how Max sums it up:

Electricity is made from a diverse supply of largely domestic fuels, and its price is closely regulated by public utilities commissions.  Accordingly, the price of electricity doesn’t care if workers strike in Venezuela or if rebel forces make progress in Libya.  When Iraq invaded Kuwait in 1990, the price of oil spiked, and the price of electricity continued a gradual twenty-year decline. While the price of oil increased almost tenfold following the Asian economic crisis in 1997 until its peak in 2008, the price of electricity increased about 12%. 

In short, the price of oil reads the morning’s headlines and freaks out, while the price of electricity is blissfully ignorant and kinda boring. Which would you rather depend on to fuel your car?

Or as another friend who has a way with celebrity analogies put it, oil prices are like Charlie Sheen to electricity’s Dick Clark. Eh? 

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

Truth #4: When we go to work, we're in the fight.

Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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