The latest stats indicate that emerging economies like Brazil, India and China have been performing well and it is expected that the global economy will grow at 4 percent over the next fiscal year. Some economists have argued that lower oil prices will have a deflationary effect on the world economy, since this will in turn lead to high consumer spending as well as exports. In most likelihood, it is order to suppress this phenomenon that governments all over the world have decided to hike the interest rates for loans as this move will pose a large impact on consumer demand. So does that mean that after oil prices drop, the situation would return back to, well, normal? This is a rather tricky question to be answered so soon, since we have all been witness to how many times the stock markets, the foreign exchange, loan rates, and practically everything fluctuate so dramatically in the last few months. But yet, all we can do is hope.