Is $100 Oil As Lethal As It Looks?
Not by itself. But combined with the housing bust, maybe so
Economists are more worried about housing's downturn than oil's upturn, and for good reason. According to the Federal Reserve, the U.S. has roughly $20 trillion in residential real estate wealth. A 10% price decline, which many economists consider plausible, would reduce Americans' wealth by $2 trillion, traumatizing the financial system. It's not a perfect comparison, but a 50 cents increase in the price of a gallon of gasoline would cost the economy less ... Full Story »
Posted by Kaizar Campwala
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