What if oil reaches $ 200 a Barrel?
It was a hot day. I should go somewhere to find something cool to drink. While tidying up my living room to find my car key, I found my "Newsweek" - July 2008 edition. Flipped it and started reading it. On page 37, a short article titled "Life at $ 200 a Barrel" caught my eyes. It was written by Dr. Michael Lynch. He is an expert in oil market analysis and the President and Director of Global Petrolium Service - Strategic Energy & Economy of American. You can read about him more detail in http://www.energyseer.com/MikeLynch.html.
He estimated that at $ 200 a Barrel, people will start staying home more than travel - which I belive it is good for family relationship. It will lead to 18% sales increase of yard toys, additional airlines will go bankrupt (he estimated 8 airlines). But sales of long distance bus ticket will increase 8%. The number of pregnancies will increase 1.2% - since couples have more time to spent together. The NYSE energy stocks price will increase 12% and so on.
Even now in the newspaper, more news about people start doing vegetable garden to reduce grocery bills and grocery trips and healtier and fresh food for the family. So there is good and bad in it. Peoples start thinking of alternatives to cut cost. Alternative energy. Alternative travel. . . . So there are still options and better.
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