On: When oil prices spike, where does the money go?

[quickthrowman]

Oil is an input cost to everything, if the price of oil goes up, so does everything else. Some forms of demand are inelastic, which means people will continue hitting the rising ask as prices go up. Commodity prices going up definitely causes inflation.

[WalterBright → quickthrowman]

Oil demand is certainly elastic. Look what happened to gas mileage on cars.

> Commodity prices going up definitely causes inflation.

Nope. The proof is when they come down, there is no deflation.