The average price of a barrel of oil will be about $ 60 in 2015.
Such forecast was made by the president of the World Bank President Jim Yong Kim at the World Economic Forum in Davos.
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If cheap oil is so good for world growth, why in the heck have the powers that be gouged us for the past six years of recession?
Any marginal gains in productivity arising from the decline in oil prices will be more than offset by increasing government interference in economies in the form of more taxation, regulations, and the printing of money. At best the decline in the price of oil will have no net effect on world economic growth. At worst the decline in the price of oil will result in defaults on sovereign and corporate debt in the range of $2 trillion or more. Add to this the default on sovereign debt by the socialist economies of Greece, Argentina, Spain, Italy, and Portugal and we will have bank failures eclipsing the failures of 2008. With this will come a collapse in the equities market. The only positive impact from this is that people will realize the futility and vanity of Keynesian economics and abandon this idea and the IMF and World Bank with it.