The Credit Crunch has affected each of our lives, on both a national and global scale. But the good news is that the end of the credit crunch could be in sight, according to an independent financial analyst.
Michael Baxter, economist at Defaqto predicts that oil and food prices will begin to dip in 2009, which will promote the beginning of an economic recover. A general drop in inflation will aid the credit crunch end, as this will allow prices to fall and hopefully increase a boost in consumer spending.
Baxter comments: “You are going to see the price of oil fall quite rapidly in 2009 and 2010 because people can’t afford oil at the current price… I think that is where the recovery will come, but that probably won’t be until 2010 I think.”