Tuesday, September 18, 2007
Less Oil is More (Expensive)
oil rigs in Los Angeles in 1896
The price of crude oil is up 33% from a year ago. This is bad news for L.A. drivers. But the Fed cut the interest rate. Which is maybe good news for L.A. homeowners and buyers. But the cut in the interest rate also helps drive up the price of oil. Which is probably bad news for L.A. drivers. Etc.
Perhaps a recession would be a good thing for the U.S. (and for L.A.)?