How Does The Oil Shock That Triggers a Global Crisis Work?

Imagine your piggy bank is full of coins, and you use them to buy candy every day, now imagine someone suddenly takes all the coins out of your piggy bank at once.

Oil shock works like that. Oil is a kind of energy we use everywhere, in cars, planes, even in factories. When there's an oil shock, it means something happens to make oil very expensive or not available anymore, and that causes problems all over the world.

• If oil gets too expensive, you have to pay more for gas, which makes everything else cost more too.
• People might not be able to go to work as much because they can’t afford gas.
• Factories might slow down or stop because they need oil to run machines.
• This can lead to global crisis, like when people don't have enough money and jobs disappear.

Think of a big pizza party. Everyone is happy, eating lots of pizza, that’s the good times. Now imagine someone takes all the pizzas away suddenly, that's an oil shock! People get confused, start fighting over what little pizza is left, and some might even go home hungry, that’s the global crisis.