Question: Martin Weale, a member of the interest rate-setting Monetary Policy Committee in the United Kingdom, recently said that while economic growth in the first quarter

Martin Weale, a member of the interest rate-setting Monetary Policy Committee in the United Kingdom, recently said that while economic growth in the first quarter had been disappointing, the boost from low oil prices was bound to increase demand and consumption in the economy later in the year. Briefly explain whether you agree with the economist’s analysis or not.

Source: Ferdinando Giugliano and Sam Fleming, “Cheap Oil Fails to Spark Consumer Spending Boom,” Financial Times, May 26, 2015.

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