Stuff gettin' cheap!

kriss_boy

I know this is probably the wrong place to post this but you guys are a smart bunch :money:

Why does it seem as though a drop in fuel / food prices is a bad thing? The news reports appear to imply this is not good for the economy.

After several years of big increases in fuel and food much of the disposable income many of us have has erroded away. Surely its good that we can spend a little more money on other things and/or pay off debts?

Thanks,

colsten

It's bad for the people who lose their jobs - such as the oil workers and farmers. It's bad for the rest of us as the tax revenue collapses with the oil price, and the unemployment figures and benefits needs going up. It's bad for the rest of us if farmers don't any longer produce food as eventually we will not have enough food, and our countryside won't be looked after by anyone.

Just a few reasons - but as you said, this board isn't the right place to discuss the economy.