HATTIESBURG, MS (WDAM) - Another plunge in crude oil prices brought stocks to their lowest level in nearly two years Wednesday.
But, overall, that is good news for most people, according to University of Southern Mississippi professor Edward Sayre.
Sayre, an associate professor of economics and chairman of the Department of Political Science, said the slump in oil prices will have a positive impact for consumers.
"For the most part, people who are losing money in the stock market right now are losing only paper profits," he said. "Unless you react negatively, you panic because you see a 500-point drop in the stock market and decide to sell a bunch of things, prices are going to go back up. And really right now, consumers are going to benefit from the lower oil prices for the foreseeable future."
On Wednesday, the price of crude oil dropped 7 percent, trading at its lowest level in nearly 13 years.