I know we are all very preoccupied with Bolt's 9.69 sec 100m, and how many chicken sandwiches Phelps eats for breakfast and other trivia that makes a whole lot of difference in our lives. So, i am almost feeling guilty about posting this link for you to read and well..think.
I have been accepted into the Kellogg School of Management (1 year program) as well as the Harvard Business School for my MBA. I dont know which one to go to. It's an agonizing decision. Which one, dear reader? Which one? Some very mature ways of decision making I have resorted to - - if I see two mynahs , it;s a sign I have to go to Kellogg. If I see three, I have to go to Harvard. - if the bus arrives in the next one minute, i have to go to Harvard. - if the leaf falls off the branch and touches my right shoulder, I go to Kellogg. ad infinitum, ad infinitum,and so on.
Comments
for one, if prices were artificially inflated, shouldn't that show up in decreasing consumption? i.e oil inventories should be higher because people start buying less oil.. that doesn't seem to be happening.
also the common view among a lot of people in the 'know' (by this i mean the extremely erudite cabdrivers in singapore who advise me on everything from property investments to whether or not to support Chiru's new party)is that oil price rise is mostly due to the loss in dollar value. Simply, it just costs a lot more dollars now to buy oil.
things go bad, everyone blames wall st. things are good, everyone blames wall st. bah!
Thus, I now have to believe the other theory that says significant part of the increase can be attributed to the downturn in US economy (led by mortgage crisis) which led fed to take steps that lowered the dollar value.
I guess the democratic primary contenders contributed significantly to this theory with their objective of sounding pro-poor, they never seemed to have talked on how much (according to their theory) would the oil prices come down if those speculators can be reined in. Also, the oil producers goal is to maximize the profit from the oil, it happens at optimal price, a price higher than this would lower demand significant enough resulting in lower overall profit.