GotApex? Forums - View Single Post - Will High Energy Costs Derail the Recovery?

johnnymk · 04-09-2004, 06:12 AM

I know that the last time fuel prices doubled in 1979, the following several years was followed by high inflation. However, back then the Fed was raising interest rates once a month and workers were demanding COLA in their wages.

Even if the Fed doesn't raise interest rates and workers wages stay put, the cost of goods has to accelerate. Fuel is required in trucks for shipping, to manufacture whatever is being built in America and globally, in certain chemicals, fetilizers, etc.

Plus, I would tend to believe that the cost of travelling would be up, whether in a car, SUV, trailer or by air, and could seriously affect many vacation hot spots.

04-09-2004, 06:12 AM	#1
johnnymk Chief of Naval Operations Join Date: May 2000 Location: LEVITTOWN< PA> USA Posts: 13,621	Will High Energy Costs Derail the Recovery? I know that the last time fuel prices doubled in 1979, the following several years was followed by high inflation. However, back then the Fed was raising interest rates once a month and workers were demanding COLA in their wages. Even if the Fed doesn't raise interest rates and workers wages stay put, the cost of goods has to accelerate. Fuel is required in trucks for shipping, to manufacture whatever is being built in America and globally, in certain chemicals, fetilizers, etc. Plus, I would tend to believe that the cost of travelling would be up, whether in a car, SUV, trailer or by air, and could seriously affect many vacation hot spots. __________________ “Socialism is a philosophy of failure, the creed of ignorance, and the gospel of envy, its inherent virtue is the equal sharing of misery.” (Winston Churchill)