If the price of oil comes down, the oil producing countries economyy will go down. When the price was going down, anybody paid reasonable price for oil; when it goes down, you benefit. when it goes up, you compensate for the increase from the benefit you derived in the past. It is the simple economics. The oil price should be at least USD.120/- per barrel, based on the oil price of apprx. USD.20 per barrel 20 years before. Similarly, gold is also selling below the expected price of Rs.1500 per gram for 22 ct. We have to taken into account for these increases constantly and run the Finance Ministry expecting the price increases. If it is increased, we have a cushion. It it goes down, we will have a better cushion. Personally, I budget for an increase of 10% cost of living increase on an annual basis, which has provided me excellent saving year after year as the increase is not to that extent. Always budget for a bigger amount, and you will have a safe sailing.
