Why $20-a-Barrel Oil Should Scare You to Death

These are the results of $30 a barrel oil. What happens with $20 or $15 or $10 a barrel oil? Hyperinflation in every major oil-producing nation is leading to political collapse. What happens if there is hyperinflation in Iran or Saudi Arabia or Nigeria, or worse, what happens if the king of Saudi Arabia can no longer pay his army? Saudi Arabia has a very large modern army with lots of high-tech equipment and large numbers of well-trained soldiers. What happens to it if that state collapses or the king loses his head?

Read more