What Happens When Oil Prices Go Up?

Energy is always demand driven at the end of the day. And if that spike leads to a dramatic slowdown in countries that import energy, then what you will find is that energy prices will respond more to demand than supply. So i give you a great example of that, which is in the 19 seventies and in the nine eighties, every time there was a spike in energy prices. Those two great examples wriht. What actually happened was the increase in energy prices was so dramatic and so debilitating that it profoundly destroyed demand in the west. As oil prices fell in the 19 eighties down to a low of 17 dollars a barrel, that's also coincident with or time that the