Effect of Increase in Oil Prices on the Lives of Common Men

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The crude oil prices are increasing these days like anything. Presently (06-06-2008) it is $ 130.05 (Approximately) Per Barrel. The prices have more than doubled in last decades. Whenever there is increase in the prices of crude oil, it adversely affects the lives of common men in the following ways

1.Rise in Inflation: There is steep rise in the rate of inflation which results in increase of prices of nearly every commonly used commodity. The standard of life of oil importing countries goes on depreciating.

2.It indirectly increases the crime rate because left with lesser money and they opt for wrong ways to earn money

3.It increases unemployment, because when everything gets costly the companies try to cut down their work force thus increasing unemployment.

4.It increases illiteracy in poor countries because are left with very less money which can be spend on their children to educate them.

5.It creates economies misbalance because the money is left with only few countries which are in any way associated to crude oil production.

6. It increases the travel cost because Airlines has to increase the tariffs of their regular flights.

These are only one of the many points which describes how severely it affects the life of common men when there is effect in the rise of oil prices. Crude oil prices should not be increased so heavily because it makes the poor people more poor. Oil producing countries should also consider the poor people before increasing the oil prices. This will help in creating economic balance in the all over the world.