The Middle East conflict is creating economic ripple effects, particularly in oil markets, with national gas prices already rising roughly 15 cents and potentially climbing an additional 15 to 30 cents over the next week or two. Analysts note that because oil factors into fuel, transportation and production broadly, the price increases could contribute to wider inflationary pressure.

“It's true that there's a direct feedback into the gasoline prices that people face at the pump. But it's such an important commodity for all of the other production that goes on in our economy,” says Ryan Monarch, associate professor of economics.

“We're already in a period where inflation is running high. Inflation is not absurdly high—it's not like it was during the pandemic or during the oil crisis of the 1970s. But there's a reason why we go back to the 1970s and say that the super high inflation during that period was caused by an oil shock,” Monarch says.

Read more in the WGRZ article, “Economic factors in conflict with Iran.”