I have always wondered why a pipeline problem in Nigeria or a storm in the GOM impact upon the prices of oil worldwide when evidently a pipeline problem can be fixed and a storm will certainly pass away. It may cause damage to communications and infrastructure but these are local and fixable in the very short term.
How about problem hype spinned by those who want oil prices to go up, or certain economies to have troubles as one of the causes of global economic problems?
The prevailing economic analysis based on national economic conditions is now misleading as economic activity becomes more and more global. When people pay an extra dollar for a gallon of fuel, where does this extra expenditure go? When global consumption of fuel translates to millions of barrels per day, a dollar a day from every consumer worldwide is a tsunami of an impact the repercussions of which go beyond the national shores.
Economic analysis as presently practiced is becoming obsolete. Global data and global analysis become more relevant.
Unemployment for one must no longer be seen in the context of national employment. Rather we should begin to see how many millions of people are added to the workforce on a worldwide basis. Globally speaking, the question I would ask is whether on a worldwide basis the number of workers have been decreasing or increasing over the last decade. Unemployment seen in one country may be growth in another.
Perhaps it is now time to begin to see ourselves as citizens of Earth instead of Europe, Asia or America. As such, employment barriers at national levels must begin to be abolished. Allowing labor to freely flow in and out of countries may be the proper remedy over the long term. Realistically though this is difficult as people continue to think they are citizens of their countries instead of the Earth.