International Journal For Multidisciplinary Research

E-ISSN: 2582-2160     Impact Factor: 9.24

A Widely Indexed Open Access Peer Reviewed Multidisciplinary Bi-monthly Scholarly International Journal

Call for Paper Volume 8, Issue 1 (January-February 2026) Submit your research before last 3 days of February to publish your research paper in the issue of January-February.

Energy Crises and Inflationary Feedback Loops: Comparing the 1970s and the 2008 Financial Meltdowns

Author(s) Suveer Kataria
Country India
Abstract This paper explores the complex relationship between energy crises and inflationary feedback loops through a comparative analysis of the 1970s oil shocks and the 2008 financial crisis. Both periods experienced sharp increases in energy prices that triggered macroeconomic instability, but the nature and consequences of these shocks differed markedly. The 1970s crises were driven by supply-side geopolitical disruptions that led to sustained stagflation and entrenched inflation expectations. In contrast, the 2008 oil price spike was fueled by global demand growth and financial speculation, followed by a swift deflationary collapse amid a global recession.
Using a secondary research methodology and comparative case study approach, the paper examines the macroeconomic transmission channels, policy responses, and inflationary dynamics of both crises. It finds that while both events exposed vulnerabilities in energy-dependent economies, their outcomes were shaped by structural differences in global economic systems and the evolution of policy frameworks. The study concludes by drawing policy lessons relevant to contemporary energy transitions, emphasizing diversification, institutional credibility, and macroeconomic coordination as key factors in mitigating future energy-driven economic shocks.
Keywords Energy crises, inflationary feedback loops, stagflation, oil price shocks, 1970s oil embargo, 2008 financial crisis, monetary policy, macroeconomic instability, global energy markets, economic resilience
Field Sociology > Banking / Finance
Published In Volume 8, Issue 1, January-February 2026
Published On 2026-01-31
DOI https://doi.org/10.36948/ijfmr.2026.v08i01.67641

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