High oil prices,above 100 USD per barrel have a lot of negative aspects to money world.
Oil price when is rising is creating :
- Inflation
- Reduces the money byuing power of consumers
- Reduces corporate profits,as oil is a main input for most industries
- Creates potential social-geological conflicts and political debates
- Most of all creates problems to social facts such as heating for low income social groups
Unfortunately we must face the reality that high oil prices are here to remain,diminishing our money power.
They may not be above 100 USd per barrel but above 70-80 is almost certain.And finding alternative ways and resources such as other energy resources is of crucial importance.
