summary exercise

Soaring oil price is the most serious risk factor to the global economy. It is due to the military tension in the Middle East region. The global recessions were worsened by rising oil prices if not caused by them. The recent conflict between Israel, US and Iran may further exacerbate the situation. Owing to the fact that tensions in the Middle East region may intensify, even though economic growth is weak, the oil prices may be pushed up even further.