The other side of high oil prices

Skybird · 06-26-08, 07:22 AM

Same with alternative energy (wind, solar, etc). they now become competitive, not becasue they fall in pricing, but oil is exploding.

Negative overall effect is that all and everything is becoming more expensive, of course - and rises in wages (at least in germany) cannot compensate for that, the rises of past years got more than eaten up by accelerating inflation alone.

due to the inner dynamic of the vicious circle around economica and financial development, I fear that inflation will become one of the top threats in the medium future. It already is high enough to mark a painful sting over here, both for companies and private households. German Federal Bank also warns of even higher inflation in the forseeable future. that the American Fed and the European ECB are totally antagonistic in inflation control, the Fed not caring much about it and even speeding it up by it's measures while the ECB regarding control of inflation it's primary duty, does not really help.

Clean up your ship and tighten everything that is loose - we are sailing into very heavy weather over the next decade(s).

06-26-08, 07:22 AM	#3
Skybird Soaring Join Date: Sep 2001 Location: the mental asylum named Germany Posts: 42,612 Downloads: 10 Uploads: 0	Same with alternative energy (wind, solar, etc). they now become competitive, not becasue they fall in pricing, but oil is exploding. Negative overall effect is that all and everything is becoming more expensive, of course - and rises in wages (at least in germany) cannot compensate for that, the rises of past years got more than eaten up by accelerating inflation alone. due to the inner dynamic of the vicious circle around economica and financial development, I fear that inflation will become one of the top threats in the medium future. It already is high enough to mark a painful sting over here, both for companies and private households. German Federal Bank also warns of even higher inflation in the forseeable future. that the American Fed and the European ECB are totally antagonistic in inflation control, the Fed not caring much about it and even speeding it up by it's measures while the ECB regarding control of inflation it's primary duty, does not really help. Clean up your ship and tighten everything that is loose - we are sailing into very heavy weather over the next decade(s). __________________ If you feel nuts, consult an expert.