A Different Supply-Side Shock
Source: SeekingAlpha
2026-04-01 13:05:00 ET
In stating this week that he might end the Iran war without necessarily opening the Strait of Hormuz, we have to be surprised at President Trump’s seeming complacency about the serious challenges that a prolonged closure of that strait would pose for the US and world economies. Indeed, the very different nature of the current Strait of Hormuz-induced supply shock from previous supply shocks makes it difficult to see how a prolonged closure of that strait will not cause a US and world economic recession....
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A Different Supply-Side Shock
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