By Andrew Butter (Guest Post)
I suspect that even the most sophisticated student of Econ-101 would concede that the trajectory of the price of oil in 2008 was a bubble and that 2009 was a bust? Not that anyone has come up with a convincing theory for what it was that pumped up the bubble or what finally popped it, outside of the old favorites such as…the insanity of crowds, terrorist plots, and Goldman Sachs. The dynamics of the price in 2011 are eerily similar to what happened then: I have argued previously (a) the “correct†price for oil at this juncture is about $90 (b) that according to…
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