AN ECON BASED ON SB “AD FLATION”, 2015

LBJ was Prez in ’67; Nam War blazed on; racial violence ripped through the US; and Red China exploded its 1st H Bomb. Thurgood Marshall becomes the 1st AF AM SCT Judge. PBS was created. Bonnie & Clyde, Cool Hand Luke & Guess Who’s Coming to Dinner were fab flicks; Sgt Pepper’s Lonely Hearts Club Band (Beattles) was big as was the musical Hair (Sinatra’s “Stranger in the Night” was “record of the year” & Michelle (written by Lennon & McCartney was “Song of the Yr”). TVs channeled the Fugitive & the Monkees. Muhammad Ali lost his Title & Christian Barnand (S Africa) transplanted the 1st heart. On 1-15-67 GB $mashed KC (35-10) in a 2/3 filled LA coliseum to see the 1st The NFL-AFL World Chmpshp Game (i.e SB I).

In 1967 a 1st class stamp was a nickel as we pd 18¢ for a McD; single a gal of gas was 33¢; Fed’l Min Wage was $1.40, a new auto avg’d $5,212, US’ GDP was $3.31 T; & a SB ad (b/t the 2 televising networks) avg’d $40,000 (for 30 sec). Today, a McD single is $1± (a 5.6 MLP); Gas is $2.88 per gal (a 9.8 MLP); Fed’l Min Wage is $7.25 (a 5.2 MLP); a new auto avgs from SB 1967 to SB 2015. $32,531± (a 6.0 MLP) & a 30 sec SB ad costs $4½M (per ½ min) with a ’67 MLP of 112½ (Yes, 112½)!

Please NOTE that the ONLY items in the table below that exceed a MLP (’67 to ‘14/15) of 50 (besides the Nat’L Debt) are SB Ads, SB ticket, and an NFL salary. (MLP is obtained by multiplying the 1967 price by 112½. b/c that is the MLP of the cost of SB ads. That MLP (112½) becomes the ADFLATION #. HOW ABOUT THAT? The Super Bowl Economy is obviously about PRICING POWER, GREAT DEMAND, LITTLE SUPPLY, VALUE ADDED, MONOPOLY, etc? (JUST 4 THE RECORD SB I drew 51.18 M viewers [CBS & NBC] or 25.6% of the US pop. SB 2014 [FOX] drew 111.5M [Neilsen] 35%+- of the pop. Will SB 2015 on NBC be even greater? STAY TUNED! STAY TUNED!!).

Good/Service 1967 Prices 2014/2015 Prices ‘67 – ’14 MLP SB-Adflation ’15
1. Median Family Income (Constant $$) $7,143.00 $51,939 (2013) 7.27 $803,587.50
2. Fed Min. Wage (per hour) $1.40 $7.25 5.18 $157.50
3. New Home (avg of Jan – Oct 2014) $24,600.00 $337,550 13.07 $2,767,500.00
4. New Vehicle (avg of Jan – Dec 2012) $5,212.00 $32,531 5.99 $586,350.00
5. Ice Cream (½ gal, bulk) $0.81 $4.88 5.91 $91.12
6. Coffee (per lb) $0.75 $5.03 6.78 $84.38
7. Chocolate Chip Cookies (1 lb) $0.51 $3.29 7.01 $57.38
8. Gas (1 gal) $0.33 (11/01/14) $2.88 9.91 $37.12
9. White Bread (1 lb) $0.22 $1.41 6.45 $24.75
10. Bananas (1 lb) $0.15 $0.58 4.00 $16.88
11. 1st Class USPS stamp $0.05 $0.49 9.20 $5.62
12. 1 bottle Coke or Pepsi $0.10 $1.50± 15.0 $11.25
13. 1 McD reg. Burger $0.18 $1.00± 5.56 $20.25
14. 1 8 pk of Alka Seltzer (you’ll need it) $0.29 $2.66 9.17 $32.62
15. 1st Run Flick Tic (Hollywood Reporter) $1.22 $8.13 6.60 $37.25
16. 19″ Color TV (RCA in ’67)—-$569 $99.00 0.28 $64,012.50
17. Super Bowl ticket (“Gen. Adm”) $8-$10-$12 $2,300 125 $1,125.00
18. SB Winning Share (per player) $15,000.00 $100,000 5.86 $1,687,500.00
19. NFL Franchise Value (average) $8.5 M1 $1.4 B1 118.11 $956,250,000.00
20. Avg. NFL salary (AP) $22,000.00 $1,900,000+ estm 86.4 $2,475,000.00
1 NO Saints entry fee in ’67 1 FORBES’ 2014 Avg Team Value of 2013 teams 1 NO Saints 1967 & Forbes Avg Team Val ‘14
21. US GDP $3.308 T $17.41 T 5.12 $372.15
22. US Nat’l Debt $267 B $18,148 B 64.6 $30,039.50
23. Dow Jones Averages (1/13/67) 835 (12/31/2014) 17,823 21.3 $93,937.50
24. World Population 3.1 B 7.2 B+ 2.29 348.75 B
25. U.S. Population 200 M 320 M+ 1.58 22,500
26. SB TV Viewing Audience (U.S.) 51.6 M 112 M (2013) 2.10 5,805 M
27. Life Expectancy 70.2 yrs 78.7 yrs 1.12 7,897.5 yrs
Advertisements

About bernacmd

For over 24 years, University of Detroit Mercy Marketing Professor Michael Bernacchi, Ph.D., J.D, has produced "uNDER tHE mIKE-rOSCOPE", a newsletter discussing current "marketing and advertising¹s bends, trends & ends." A well-know fixture in Detroit and national media, UDM's marketing guru has made several appearances on CNN's "Talk Back Live," the Voice of America worldwide radio network (VOA), ABC, CBS, NBC, MSNBC and on the pages of Sports Illustrated, Time, TV Guide, the New York Times, USA Today, the Wall Street Journal and the Washington Post, to name a few. At University of Detroit Mercy, he has taught courses in Marketing Management, Consumer Behavior, Marketing Communications, Research and Corporate Social Responsibility and Sports and Entertainment Marketing. Michael Bernacchi can be reached at 313-993-1116 or bernacmd@udmercy.edu. Please appropriately attribute the following for their work on uNDER tHE mIKE-rOSCOPE: Yen Ju Lee Robert Rouse Vidhyasagar Natarajan Eric Baumgardner & Ian Young
This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s