{"id":4436,"date":"2015-01-12T19:52:04","date_gmt":"2015-01-13T00:52:04","guid":{"rendered":"http:\/\/olduvai.ca\/?p=4436"},"modified":"2015-01-12T19:52:04","modified_gmt":"2015-01-13T00:52:04","slug":"boom-goes-the-dynamite-the-crashing-price-of-oil-is-going-to-rip-the-global-economy-to-shreds","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=4436","title":{"rendered":"Boom Goes The Dynamite: The Crashing Price Of Oil Is Going To Rip The Global Economy To Shreds"},"content":{"rendered":"

Boom Goes The Dynamite: The Crashing Price Of Oil Is Going To Rip The Global Economy To Shreds<\/a><\/h3>\n

If you were waiting for a \u201cblack swan event\u201d to come along and devastate the global economy, you don\u2019t have to wait any longer.\u00a0 As I write this, the price of U.S. oil is sitting at $45.76 a barrel.\u00a0 It has fallen by more than 60 dollars a barrel since June.\u00a0 There is only one other time in history when we have seen anything like this happen before.\u00a0 That was in 2008, just prior to the worst financial crisis since the Great Depression.\u00a0 But following the financial crisis of 2008, the price of oil rebounded fairly rapidly.\u00a0 As you will see below, there are very strong reasons to believe that it will not happen this time.\u00a0 And the longer the price of oil stays this low, the worse our problems are going to get.\u00a0 At a price of less than $50 a barrel, it is just a matter of time before we see a huge wave of energy company bankruptcies, massive job losses, a\u00a0junk bond crash<\/a>\u00a0followed by a stock market crash, and a crisis in commodity derivatives unlike anything that we have ever seen before.\u00a0 So let\u2019s hope that a very unlikely miracle happens and the price of oil rebounds substantially in the months ahead.\u00a0 Because if not, the price of oil is going to absolutely rip the global economy to shreds.<\/p>\n

What amazes me is that there are still many economic \u201cexperts\u201d in the mainstream media that are proclaiming that the collapse in the price of oil is going to be a good thing for the U.S. economy.<\/p>\n

The only precedent that we can compare the current crash to is the oil price collapse of 2008.\u00a0 You can see both crashes on the chart below\u2026<\/p>\n

…click on the above link to read the rest of the article…<\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

Boom Goes The Dynamite: The Crashing Price Of Oil Is Going To Rip The Global Economy To Shreds If you were waiting for a \u201cblack swan event\u201d to come along and devastate the global economy, you don\u2019t have to wait any longer.\u00a0 As I write this, the price of U.S. oil is sitting at $45.76 […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2,3],"tags":[246,2605,312,328,402,1297,2614,1775],"class_list":["post-4436","post","type-post","status-publish","format-standard","hentry","category-economics","category-energy-2","tag-economy","tag-energy-industry","tag-financial-crisis","tag-fossil-fuels","tag-high-yield-bonds","tag-junk-bonds","tag-oil-and-gas","tag-oil-price-collapse"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4436","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=4436"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4436\/revisions"}],"predecessor-version":[{"id":4437,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4436\/revisions\/4437"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4436"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4436"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4436"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}