Impact of oil on economy limited so far: Bodman

CEDAR RAPIDS, Iowa (Reuters) – High crude oil prices have had some impact on U.S. economic growth but the pain is not on the level seen during the energy price shocks of the 1970s, U.S. Energy Secretary Sam Bodman said on Wednesday.

“I am surprised that we have not in the past seen more of an effect on our economy from these high oil prices,” Bodman told reporters in an interview. “The impact of oil on the economic performance of the United States is not what it once was … 30 years ago.”

“At some point in time clearly it will have more of an effect than it has already,” Bodman said as he headed toward a tour of a wind turbine manufacturing plant.

Federal Reserve Chairman Ben Bernanke testified before Congress in July that a tripling of energy prices has cut economic growth by 0.5 percent to 1 percent over the past few years. U.S. crude oil futures remain close to July’s $78.40 a barrel record high.

Reuters