What are the effects of inflation, recession, and unemployment on the oil industry???

Question

im just wondering... any answers would be nice :))))))

Answer 1

Inflation makes things cost more. That cuts into a company's profits and forces them to charge more for their products. Recession means that more people are unemployed, meaning that they have less money, so fewer people are buying products. Unemployment would also mean that fewer people are going to work everyday, meaning less gas sales. Oil companies are just another business, and economic fluctuations hurt or help them as much or more than anyone else.

Answer 2

Dear friend,

Inflation is one of the essential features of growing economy but this results in rising of prices because the intrinsic value of the currency is reduced but provides employment opportunities. But excessive inflation may turn into recession, which results in heavy reduction of the value of currency. During Second World War, the recession in China had reached to the extent that even one bag full of currency was hardly sufficient to get one time meal. Further more the situation of unemployment becomes very sensitive.

Answer 3

They will have to lower the price as no one will be able to afford it. the sooner an alternative technoligy is found the better then Opec will be unable to hold the world to ransom.

Answer 4

Absolutely Nothing...it's all Blue smoke and Mirrors  for Profit.

Wake - UP

Peace