Virgin Blue warned last week that its losses will blow out to as much as $150 million in the second half due to the impact of the natural disasters and high fuel prices.
You are optimistic in saying the world won't stop because of the fuel prices.
Do you know how was the world before the fuel economic world?
And saying we will find something to replace it, this is misunderstanding 2 things: the human genius in finding good ideas, and our economy based on free fuel available for us.
No idea, no genius can find an alternative to what is free an available.
You speak about technology moving forward, this technology, the modern one, is based on the fuel economy. What about our technology in a real recession scenario?
As we noted in the print edition in March, "the price of oil has had an unnerving ability to blow up the world economy." The economic implications of a major oil price shock—and the corresponding increases in the prices of everything that has to be made with oil or transported to market using oil—shouldn't be underestimated. The political ramifications of $200 bbl oil could be even more serious. So I'm going to keep hoping that we don't see any sort of nightmare spike in oil prices. If we do, the economic health of the airlines could end up being the least of our worries.
Oil and the economy: The 2011 oil shock | The Economist