Thursday, January 24, 2013

Gail Tverberg — Our Finite World

1. How can oil have a far greater impact on the world economy than its share of the world GDP would suggest? After all, BP’s World Energy Outlook to 2030 shows the world cost of oil is only a little over 4% of world GDP. 

2. How can high oil prices continue to act as a “drag” on the economy, long after the initial spike is past?
3. Why isn’t a service economy insulated from the problems of high oil prices? After all, its energy use is relatively low.
Our Finite World
How High Oil Prices Lead to Recession
Gail Tverberg

1 comment:

Matt Franko said...

Adds to imports for the US... Makes the external deficit higher which calls for a fiscal adjustment which never comes.... Rsp