April 13, 2012
Tags: Euro, oil
Rev 6:5,6 NCV When the Lamb opened the third seal, I heard the third living creature say, "Come!" I looked, and there before me was a black horse, and its rider held a pair of scales in his hand. Then I heard something that sounded like a voice coming from the middle of the four living creatures. The voice said, "A quart of wheat for a day's pay, and three quarts of barley for a day's pay, and do not damage the olive oil and wine!"
The Euro Zone economy is being hurt more than expected by the higher oil prices and the nations lest able to survive the shock at the pump are the ones being hit the hardest.
In terms of the Euro, petro prices surpassed their all-time highs last month. The prices are 17% higher since the first of this year, with an economy projected to shrink by 0.5 % in 2012.
The International Energy Agency announced last week, the hardest hit within the industrialized nations is the European Union. They will pay $500 billion for its oil this year. That price is $30 billion more than they paid last year for their petroleum products.
Different countries have been impacted by these higher oil prices differently. The full impact has not dwindled down to the consumers in Germany, yet. Whereas those in the south are already strapped for finances because of loses in real estate and stocks.
The growth rate of a country is generally affected a couple months after an increase in oil prices. Those who have been already hurt by public debt, low growth and unemployment are hurt even more. Greece, Portugal, Ireland and Spain are expecting to see their growth decline even further as oil prices rise.
As it is in the USA, those who live in the north, expect to pay more for heating oil than those in the south. The Spanish and Irish paid the highest electric prices in the E.U. last year. Greeks and Italians have to pay 16 and 17 percent more for their gasoline. However some people in the south living day to day can little afford to pay the highest energy prices on the continent.
In already depressed areas, higher oil prices can lead to severe national economic downturns and these higher prices are coming at the worst possible time in the Euro Zone regions who already suffer from the economic slowdowns and tighter bank lending policies.
The following are gas prices are currently at the pump across this world. The price is calculated on the US Dollar and a regular US Gallon; Netherlands $6.48, Italy $5.96, U.K. $5.79, Germany $5.57, France $5.54, Portugal $5.35, Spain $4.55, Russia $2.10, Kuwait 78 cents and Venezuela 12 cents.