oil barrel price rise

[itsjustsammy]

what would happen to the world's economy is barrels of oil rose from their 42 dollars or so to 100 dollars??

[David Black]

My guess is a 1970s style collapse which will destroy huge swathes of middle class wealth. Property prices will collapse under the weight of repossesions and rising interest rates and service jobs will evaporate as the thin manufacturing industry cuts back. The long term effect will be a transfer of wealth to oil producers and a revaluation of currencies and assets in the far east as our money declines. Oil, resources and cashall did well last time and people with lots of debt did badly. Lets hope it doesn't happen!