RECORD INFLATION Steve Verdon points out that current "record" oil prices are only records because inflation has raised prices across the board. In real terms, oil's record price was reached shortly after Iran took hostages in the US embassy, way back in 1979, when a barrel of oil cost roughly $90 of today's dollars.
You see these sorts of "records" everywhere. The highest grossing movie of all time in real terms was, I'm told, Gone With the Wind; it's only the eroding value of our money that lets Hollywood set new records every few years. Something to keep in mind when you read those headlines.