Supply and Demand

Oil prices are now very low and all energy prices are very low however you measure them, compared with ten years ago. Most commodity prices are low. prices of raw materials are low compared with prices of ten years ago and so are many food prices.

There are probably several reasons for low prices today. one is the lack of inflation and very low interest rates. Another is exploitation of cheap easy to access fossil fuel. A third reason is the political effect of wars, armed conflict and international sanctions on prices. There is also the old twin factors of supply and demand.