World economy

Many Americans equate the problems with the stock market with the decline in oil prices but this is not the case. The market is upset because the world economy spearheaded by China is weak. Lower oil prices will affect the profits of oil companies but they will greatly benefit other industries, in particular transportation. Everyone from individual car owners to commercial trucking, rails and most of all the airline industry are benefiting from lower oil prices. In addition home heating cost either with natural gas or fuel oil have come down. Many industries rely heavily on energy cost and their profits will reflect lower prices for oil. These profits will provide extra funds for R&D and expansion. The average consumer is finding savings in home heating cost and gas prices at the pump. The chemical industry which uses petroleum for many of its basic products will see increased profits. Finally power plants will show increased profits because of lower oil and natural gas prices not to mention cleaner air. All of this will spur economic growth but the slowing of the world economy will delay the effects.