| dsister44 said: I was listening to the radio today, and they said that gas barrles dropped $2, so whats the problem? |
The problem is that the drop is due to a short-term drop in demand, brought on by the recession. The long-term demand curve is going nowhere but up (especially with emerging economies like China and India industrializing as fast as they can while the needed energy is available), while the long-term supply curve is staying flat or sliding down. The result is that the long-term price of energy is going nowhere but way up, and those unprepared for a future of scarce, expensive energy are going to suffer. Especially if you're an energy importer.
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