Friday, March 25, 2005
Does Oil Really Come in Barrels?
An entertaining article by Daniel Engber on Slate on that quirky unit of measurement. Most interesting is the mention that in 1860 (around the time of the first drilled oil well) prices were as low as $5 per barrel. So even at today's rate of $55 per
barrel, buying and holding an oilfield would have been the worst real estate investment out there, returning less than 1.8% a year (not accounting for inflation).
Check out this interactive price graph. Also there's an interesting annotated history here.
Or lifted straight from Forbes Magazine:
Crude Oil Prices 1861 - 2005
barrel, buying and holding an oilfield would have been the worst real estate investment out there, returning less than 1.8% a year (not accounting for inflation).
Check out this interactive price graph. Also there's an interesting annotated history here.
Or lifted straight from Forbes Magazine:
Crude Oil Prices 1861 - 2005
