All Commentary
Thursday, February 23, 2012

Gas Price Effect on Economy Debated


“Could history repeat itself? That is a question uppermost in the minds of many Americans as they warily watch gasoline prices at the pump rise week after week. After all, a spike in gasoline prices early last year helped nearly knock the economy back into recession. The answer, economists say, is that this time is different: the recovery is in far better shape to absorb the blow.” (Reuters)

Government intervention makes the economy more vulnerable to adverse change.

FEE Timely Classic
“Gas Prices: The Latest Excuse to Reengineer Society” by Steven Greenhut