# OPEC Forecasting.



## Vol (Jul 5, 2009)

Interesting....but baseless in reality.

Regards, Mike

http://growingtennessee.com/news/2016/01/opec-leaders-defend-oil-production-levels-low-prices-may-last-the-decade-2016-01-28/?utm_source=Growing+Tennessee&utm_campaign=650e4b9960-growingtennessee-daily_newsletter&utm_medium=email&utm_term=0_d75710df8e-650e4b9960-296641129


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## glasswrongsize (Sep 15, 2015)

I understand that short articles cannot be all-inclusive, but it jumped out to me that the speculated jump from 70 bucks in 2020 to 90 bucks in 2040 does not even keep up with the default ( more accurately, it's MY usual figure) inflation rate of 3 percent. Using the inflation calculator, 2020's $70 dollars would be worth 126.43 of 2040's dollars,...so speculating a 2040 price of $90 is actually forecasting an actual drop of 36.43 (of 2040's dollars) from 2020 to 2040

73, Mark


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## NewBerlinBaler (May 30, 2011)

Petroleum is a volatile commodity. Its price swings wildly with changes in supply & demand. Think about the price of corn, another commodity, over the past few years. Volatile commodity prices don't track inflation like housing, health care or education.

Gary


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## glasswrongsize (Sep 15, 2015)

NewBerlinBaler said:


> Petroleum is a volatile commodity. Volatile commodity prices don't track inflation like housing, health care or education.
> 
> Gary


I whole-heartedly agree that volatile commodities to not track inflation. Inflation is a marker for the devaluing of the buying power of the dollar, and the devaluing of the dollar needs is a factor which skews the 20 year future speculation. I assumed (I need to kick that nasty habit) they were speculating 2040 prices but using 2016 dollars for he figure. Maybe it was factored.

73, Mark


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