Why $200 Oil Is Just Around the Corner (Jeff Rubin)

…While he states that high oil prices do cause the demise of demand, he sees the subsequent recession as a temporary setback for oil’s race to higher prices. In fact, Rubin predicts that the price of oil will surpass the $100 mark and head to $200 per barrel within the next few years.

“We will see triple digit oil prices very early into an economic recovery,” Rubin told Rigzone. “I expect we will be there within 12 months.”

While he does contend that the escalating price of oil will cause another recession, Rubin believes that recovery will spell higher prices once again. The economist predicts $200 oil just around the corner.

“By 2012, we will either be in a world of $200 per barrel oil or we will be back in another oil-induced recession,” he added.

Rigzone