Dr Nathan Peres: How wars in the Middle East affect New Zealand’s economy

Whether you fill your tank, book a flight or pay for groceries, the rising costs stem from a war in which this country is not involved. Since the Gulf war broke out on 28 February, Iran has kept shipping through the Strait of Hormuz largely choked.

From January to September, petrol prices rose 24.3 percent and diesel 55.8 percent. Food prices rose just 2.4 percent, but that restraint will probably not last.