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Recession ...in all but name


Tankus
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I guess I should have further explained my point about the cost of crude oil. Yes, it definitely determines the price of gasoline which impacts not only the general consumer but also all those involved in moving good on land, in the air and by sea. Those costs are eventually passed onto the consumer. Also consider it's use in:

-plastics being used as the raw material to produce many of the products we use everyday, including products packaged in plastic.

-asphalt used to pave roads

-fuel oil used to heat homes

-fertilizers and pesticides used by farmers contain chemicals produced from petroleum

The list goes on and on but you get the point.

We certainly do.

Here in the UK the high cost of fuel has pushed up energy prices and food prices and, as a result, we have higher inflation than the Government's target.

This means that the Bank of England will not have the free rein that it would like to reduce interest rates to help avoid a recession.

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