Mint Quick Edit | Rigidity is risky: Pin the crisis of LPG and oil on inflexible market and military forces
While price-capped gas ran short, the black market showed price elasticity—with rising rates shrinking demand. Globally, meanwhile, relatively inelastic demand for crude oil poses a huge risk. The greater the inelasticity, the higher its price must rise to shrink usage sufficiently to match overall supply if the Gulf war rages on to spell more than a brief crunch.
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