Why the price of 1 gallon of milk is more expensive than 1 gallon of Gasoline ?
September 8, 2009 10:08am CST
I just got done ran my errand. some groceries shopping, fill the gas, pay the bill, etc,etc. And I just noticed that here in my area the price of 1 gallon of milk is more expensive than a gallon of gasoline for my car. Maybe the way I think is too simple. I only think that milk is coming from cow which is not rare to find. I mean even the campaign for environment is to save energy including gasoline. And the cost to process oil to gasoline should be more than processing the milk from the cow to the bottle. Anybody notice this too?
• United States
8 Sep 09
This actually isn't true where I live. Right now (or at least as of yesterday) the price of a gallon of gas was $2.35 per gallon while the price of a gallon of milk was $1.98. But now that we are looking for reasons why the gallon of milk would be more than the price of a gallon of gas, I might have a reason. Part of my thinking on that is that they have to use the machinery to milk the cow, which uses electricity. Then, we have to bottle and pasteurize the milk which uses more electricity and supplies. Finally, the milk has to be transported from the dairy to the store which uses gasoline and who knows how many miles the milk has to be transported.