Lessons from the 70s in why oil prices can stay high « Peter J. Cooper’s Weblog

The problem is that to stop a financial crisis turning into a second Great Depression the only answer is to pump more money into the system to keep it afloat. This happened in the mid-70s and inflation moved still higher while the banking system tottered but did not fall, although admittedly the stock market was virtually wiped out in one of its worst-ever collapses. That is perhaps the next stage of the present crisis.