12 Aug '12, 12pm

#peakoil Will high oil costs permanently ruin world’s economy?: For President Barack Obama and Republican rival

Will high oil costs permanently ruin world’s economy? For President Barack Obama and Republican rival Mitt Romney, the race for the White House seems indisputably centered around one issue: Who can do more to bolster the sputtering U.S. economy. But to some experts, spikes in oil prices over the last several years have signaled an ominous turn that could make it nigh on impossible for any president to expand the economy as it has in the past. Unlike previous oil price jumps stemming from turmoil affecting Middle East oil producers, prices surged over the last eight years because tightening supplies couldn’t keep pace with Third World demand, researchers have concluded. “The question is how much can we keep growing without a growing supply of energy?” said James Hamilton, a University of California-San Diego economics professor who has been on the leading edge of research i...

Full article: http://peakoil.com/consumption/will-high-oil-costs-perman...

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