51.   The price rises wiped out the need for farm subsidies.

52.   But its effect on spot oil prices -- which skyrocketed -- was used by the producers to justify a general price rise.

53.   This price rise occurred in the context of restrictive policies, rapidly decelerating output and double-digit inflation.

54.   The oil price rise worsened profitability and reduced demand.

55.   First, it seriously underplays the extent to which the system was in severe difficulties before the oil price rise.

56.   In addition, the dollar devaluations worked to encourage a price rise, because most oil was priced in dollars which were being eroded in value.

57.   Finally, the price rise was a product of the boom in a more general and fundamental sense.

58.   The above account of the effects of the oil price rise applies to the system as a whole.

59.   The differing impact of the price rise on consumer countries is exemplified by comparing Japan with the United States.

60.   So the oil price rise enormously increased its import bill.