The biggest problems, however, appear to lie in the impact of prices on the global economy. From a global perspective, total energy costs are about 10 per cent of global gross domestic product, a level last seen in the late 1970s. In the US, oil costs are above 4.5 per cent of GDP and for the world as a whole oil spending is 5.4 per cent of GDP, both creeping up to the record world level of 7.3 per cent.Does anyone have a time series of world energy costs vs. GDP?
29 February 2012
Energy and Global GDP
Ed Morse of Citi writes a sobering commentary on oil prices in the Financial Times, and includes this comment: