by dolanbaker » Thu 17 Sep 2015, 16:00:20
$this->bbcode_second_pass_quote('Cog', 'S')o when the price of oil goes down the PIIGS should be less vulnerable to oil shocks? Or does it only work one way? LOL
It doesn't work that way, oil is priced in USD and at the moment the EUR has significantly devalued against the USD. So here we are currently paying about €1.40 a litre for petrol, during the height of the price peak, we were paying about €1.55.
Not much of a drop (extra taxes didn't help) when the price of oil goes back up to anywhere near $100 a barrel, we'll be squealing like piigs!
People have got used to the current (cheap) fuel and will be in for a real shock when the price returns to the "new normal" in USD which will be much higher in Euros, we could easily see €1.80 a litre.
Religion is regarded by the common people as true, by the wise as false, and by rulers as useful.:Anonymous
Our whole economy is based on planned obsolescence.
Hungrymoggy "I am now predicting that Europe will NUKE ITSELF sometime in the first week of January"