Look at the following chart. The USDX measures the value of the US dollar against a basket of other currencies. If you look back to the turn of the century the USDX was up around 120. That was of course when oil was relatively cheap. Then among other things the republicans took over backed off on taxes and inflated the currency through incredibly un-conservative, stupid spending and by starting an expensive war that was drummed up by all of the complicit media. You see, the government spends money into being, or to put it another way, the US dollar represents US debt. The Asian economies hold the call on much of those debts as US Treasuries. Anyway, in the chart, you can see that through the summer months of 08 the government was injecting trillions of dollars into the economy, creating inflation, driving commodity prices through the roof. Now dollars are getting sucked out of the system because so many debts are going bad. If a house was bought in CA for $300,000,000 and it then sells after foreclosure for $150,000 that means $150,000 evaporated from the economy. Evaporating money is deflation which causes prices to drop because there are fewer dollars in the system looking for goods. What you are really watching is the Federal Reserve trying to compensate for all of the ill advised spending done by Bush and the idiots in CONgress, Coupled with policies that allowed the banks to drop their fractional reserves, multiplied by both parties mandating a house for everyone. And Klinton is complicit in this mess too. He allowed for new accounting rules which rigged inflation numbers to look as though they were low even though they were going through the roof. A recession is
A period of general economic decline; specifically, a decline in GDP for two or more consecutive quarters.
If Klintons new accounting rules were rescinded I fully believe that the recession started this time last year. But with the books being cooked who really knows? If I am right, then we are well on our way to a depression which is defined by two years of negative GDP. I couldn't find a wholesale gasoline price chart but if you put gas and the USDX into the same chart you would see that they move the opposite of each other.