Economy 52,864 Posted September 22, 2016 Share Posted September 22, 2016 New data has shown that the US Oil industry has grown just large enough for Oil prices to be neutral to US economy Some said lower Gas prices would help the US economy by stimulating higher consumer spending. Others said the reduced investment in Oil industry would be greater than the benefits In fact the Oil Price Crash of 2014 has been exactly neutral. Consumer spending jumped enough to increase GDP by 0.61%. Oil Industry investment dropped enough to lower GDP by 0.62%. Positive and Negative forces were at almost exact same strength Trends in general employment growth remained relatively the same also Link to post Share on other sites More sharing options...
PERFECTIONIST 2,139 Posted September 22, 2016 Share Posted September 22, 2016 The lower the prices go the more people that get laid off at my dad's job & many other friend's jobs that I know it went from having 500 employees with nights and morning shifts to a 10 people company with only night shifts my hobbies include lying about PI leaking and getting everyone shook on GGD Link to post Share on other sites More sharing options...
FATCAT 60,888 Posted September 22, 2016 Share Posted September 22, 2016 2 minutes ago, PERFECTIONIST said: The lower the prices go the more people that get laid off at my dad's job & many other friend's jobs that I know it went from having 500 employees with nights and morning shifts to a 10 people company with only night shifts First In, First out is volatle with some industries, just part of the ecosystem This kitten over here (meow) Link to post Share on other sites More sharing options...
Economy 52,864 Posted September 22, 2016 Author Share Posted September 22, 2016 2 hours ago, PERFECTIONIST said: The lower the prices go the more people that get laid off at my dad's job & many other friend's jobs that I know it went from having 500 employees with nights and morning shifts to a 10 people company with only night shifts 2 hours ago, FATCAT said: First In, First out is volatle with some industries, just part of the ecosystem Yes. Because some industries gain some loose If your a transportation company like in trucking or an airline youve gained big time If your Walmart, you might make a tiny gain from the $40 a month of extra spare change someone has from lower gas prices If your an oil company, you definitely loose. If your a State dependant on oil, you also loose more than you gain Here in Canada we saw a shift in economic growth by region. The West which relies heavily in comodities went into recession. Central/Eastern Canada which is more manufacturing based saw a gain in economic growth Link to post Share on other sites More sharing options...
Woolfsmck 2,763 Posted September 22, 2016 Share Posted September 22, 2016 3 hours ago, Economy said: Yes. Because some industries gain some loose If your a transportation company like in trucking or an airline youve gained big time If your Walmart, you might make a tiny gain from the $40 a month of extra spare change someone has from lower gas prices If your an oil company, you definitely loose. If your a State dependant on oil, you also loose more than you gain Here in Canada we saw a shift in economic growth by region. The West which relies heavily in comodities went into recession. Central/Eastern Canada which is more manufacturing based saw a gain in economic growth I am trucker and lease to a larger company with a truck that I own.... I worked for two years as a fuel tanker driver in Montana/North Dakota during the oil boom (2013 - 14 for me) I currently make about the same amount as I did in 2013 ... Freight charges include a fuel provision based on the national average ... When diesel prices are high, so are the charges ... Doing the math, higher fuel prices meant greater incentive to conserve fuel since every gallon saved meant 4 dlls... Now, saving fuel means about 2 dllrs. So, conservation on fuel consumption has a lower incentive but my net revenue hasn't been changed.... Food and agriculture products that depend on petroleum haven't come down in price, which is hurting the farmers who use them to grow crops.... The supply and demand impact on most of the internal U.S. (canada) from the oil price fluctuations takes time and the 'net' difference to the over all economy won't be much at all .... I agree... however, the oil platform constructions companies and crude oil suppliers have taken a big hit and are retracting with lots of layoffs and out right bankruptcies on the horizon. Consumer spending hasn't really been impacted because the average individual will spend a a little less on fuel but not enough to save or buy other things since the middle class no longer exists ... rich people buy whatever whenever since they always have money regardless of the fuel prices or overall economic circumstance. like a cat in a sil, I observe life, moving and still. My words give a clue,look inside to see whats true Link to post Share on other sites More sharing options...
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