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Chris' latest macroeconomic view

Chris' latest macroeconomic view

Chris gives one of his best and most in-depth updates on the economy to Erik Townsend

Podcast

Jim Puplava: Oil Is the New Federal Funds Rate

Chronic overspending & peak-oil will choke meaningful growth
Sunday, June 17, 2012, 7:28 AM

Jim Puplava has made a decades-long career of interviewing hundreds of notable experts on the economy, energy, precious metals, geopolitics, agriculture, and other sectors that impact our future. 

The outlook he has developed as a result of all this input is less than sanguine. Jim concludes that economic growth will be constrained both by world governments' chronic addiction to spending more revenue than they take in and by the systemically rising costs of fossil-fuel-driven energy.

In terms of growth, he sees political leadership becoming less and less relevant in its ability to effect outcomes. In fact, he declares the price of oil as now being more influential in stimulating or depressing sovereign economies than central bank interest rates. In his words, "Oil is the new Federal Funds rate."