While them OPEC nations and oil giants profit, some economists say that lofty per-barrel prices put the global economy at risk. Fatih Birol, chief economist of the International Energy Agency, says that the current price of oil could be a catalyst for a global economic crisis. Recently, Birol told Reuters that:
So, what's the solution? Unfortunately, there probably isn't one. That is, until we transition away from oil and towards alternative fuels on a massive scale. Until then, we'll likely keep hearing OPEC report's of record-setting profits while we watch the global economy teeter on the ragged edge of a crisis.If you don't see any softening of the prices, there is a risk of derailing the economy, of a double-dip. We all know what happened in 2008. Are we going to see the same movie?