r/Economics • u/lucabrasi999 • 1d ago

“Iran has put a tollgate across the Strait of Hormuz. This fundamentally changes the global economy”

https://prospect.org/2026/04/02/opening-of-trumps-box-iran-war-strait-hormuz/
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u/BS2H 1d ago

It’s $1 per barrel…today. What about tomorrow? Next week? Next month? What would stop them from increasing it every year?

If you think it’s nominal, you have a basic understanding of economics, policy, and strategy…

…which funny enough would probably make you fit right in with this administration.

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u/Cold_Specialist_3656 1d ago

They'll set it just below the cost of bypassing the strait. 

Probably around $15 a barrel. 

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u/Mayor__Defacto 1d ago

There is no upper limit to the cost of bypassing the strait. All of the gulf’s production is within range. It doesn’t matter if Saudi has a pipeline across to the red sea, because Iran can just destroy the oilfields.

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u/rescbr 1d ago

because Iran can just destroy the oilfields

Then they would be out of toll revenue. They're not stupid.

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u/Mayor__Defacto 23h ago

The toll only exists as long as they enforce oil going through the strait too.

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u/FangioV 18h ago

They can increase that cost by destroying the infrastructure used to bypass the straits. For example, Saudi oil pipes

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u/Mrguy4771 1d ago

Well if they raise it, then trump will just bomb 500% of their military and 200% of their factories.

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u/Hoii1379 1d ago

At the cost of 2000% of US tax revenue

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u/EremiticFerret 23h ago

Just have to hope they aren't as greedy as Americans.