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Low oil prices - good or bad for economy?

EconoMeter panelists ponder the impact on consumers, producers


Friday, December 18, 2015

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Kelly Cunningham, National University System
Answer: YES

Low oil prices boost the U.S. economy with lowered energy costs allowing businesses and consumers to spend their savings on other things such as vacations and Christmas gifts. At the same time OPEC and Russia are hurt. But low oil prices are killing jobs in once-booming, oil-centric states, such as Texas and North Dakota, where oil and energy companies have shed 123,000 jobs since the end of 2014. Effectively undercutting competition harms ongoing U.S. production.