Oil and the Economy

The past few months have been hard on the economy due to the active hurricane season, interest rates, and some inflation. However, the economy has not suffered as much as some people thought that it might. The factors listed above have helped to cause the price of oil to increase due to a decrease in the supply. According to the article, oil prices are currently at about $60 a barrel and some people are starting to worry that companies are going to start having consumers pay more in order to cover the higher costs.

What impact do you think that an idea such as passing along costs to consumers would have on the economy?



<http://money.cnn.com/2005/10/27/markets/markets_november/index.htm>