Letter: Clinton’s ‘new economy’ near end of the road

Tuesday, March 14, 2000 | 9:09 a.m.

News reports tell us that the price of crude oil has increased to more than $30 a barrel -- its highest level since the Persian Gulf war of 1991. The impact of these prices is as high as $1.93 a gallon where I buy my gas.

If history is any indication of where such high energy costs will lead, we expect an increase in the consumer price index, followed by an increase in the prime rate by the Fed to "slow inflation," followed by a slowdown or reversal of growth in the stock market. So much for the Clinton administration's "new economy."

FRANK M. PELTESON

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