This week, Iran-backed Houthi rebels in Yemen launched strikes on two Saudi Arabian oil tankers, immediately leading to yet another spike in oil prices.
The Strait of Hormuz, which has become a choke-point for a crucial supply chain, continues to be severely disrupted.
But so far, the world economy has avoided a meltdown, a global recession or even depression, despite dire predictions.
Have the economic threats been overstated or is there more pain to come?
- Guest: Warwick McKibbin, director of the ANU Centre for Applied Macroeconomic Analysis and nonresident senior fellow at the Peterson Institute for International Economics.
