Impact of U.S. Recessions on Oil Demand
A Picture worth a thousand words
US recessions have always reduced oil demand. Oil prices declined subsequently, not only because of the decline in oil demand in the US, but also globally. For example, in the 1990-1991 recession, oil prices declined by 46%. In the 2001 recession, oil prices declined by 37%. In the 2007-2009 recession, oil prices declined by 57%.
Thank you for your expertise Dr.
When the panic from civic 19 is over and
the likely recession comes to an end, how much do you see
the low oil prices boosting demand? Would gasoline demand in particular
in the U.S. go up significantly and might that help push oil back to
at least $60 a barrel? Thank you!