Affect interest rates When oil prices rise Prices rise Real money supply (M / P) is reduced as a result of higher inflation. There is more interest Rising interest rates
impact on the production costs and the price
is the impact that we experience directly. Because as soon as oil prices increased the cost of living will increase accordingly. Today, people are bound to trip any time. Oil is a major factor in traffic. Transport of goods and services of all kinds. As previously mentioned, the impact on the cost of production increases will inevitably lead to inflation, so-called Inflation by Cost Push by those who have been most affected appear to be those with a regular income, for example. officials or employees The same revenue, but the cost of living increase in the
impact on quality of life. When people lose their job There is no money to spend on consumption. But the price to rise as a result of higher fuel costs. Causing a condition called Stagflation while instilling moral society of Thailand. Knowing just enough The austerity budget It was inspired by the cult of consumerism. Hearts full of passion People do not choose to use it to get the money back. It may be more crimes In order to get money to spend on what they want. The quality of life in society as a whole, thus decreasing
the impact on the economy
as the government considers the most goals of stabilizing the economy. The main goal of the government to manage the economy as a whole. But when oil prices would make the economy more unstable as well. As can be seen from the higher production costs inevitably to inflation pressures. When inflation increases will affect the real income of the people in the other one with lower
impact on national development strategies
, while also based on GDP as the primary goal in developing countries. Continue to stimulate the economy by making use of the industrial sector continued. The need to stimulate public consumption to rise. Using all forms of media to encourage people to spend money without wisdom. Industrial and transportation sectors need to use oil as a raw material. Oil in the country requires higher doses. The country has also developed a renewable energy system. The country can not avoid the impact of the oil price at all. Finally, the United States and developing countries would not be able to adhere to the development strategy set up.