Oil and Gas

How Oil and Gas Prices atomic number 18 Affected Kurt Jones COM150 8-29-2010 Cathy Adiconis How Oil and Gas Prices are Affected Take a good look around and think about what someone would see. Every day Ameri green goddesss see cars, buildings, and former(a) manufactured products. What they do not realize is what all of these items shake in common. All of them depend on embrocate and burn out in some way. Americans have created such a settlement for oil and gas and it does affect the economy. There are umteen factors that affect the price of oil and gas. In the world radical concepts of economics are all around everyone. One of the trump known is supply and demand. This could not be more pertinent than with impart oil and gas prices. The supply of oil can reduce for many reasons. In more recent memories the shortage of oil could be the result of an oil spill. The Exxon Valdez and BP spills have been the cardinal largest in history. When this amount of oil is lost, it does not impact companionship immediately. It takes time for the refineries to make crude oil into gas. In the mean-time thither is enough supply to satisfy the needs of the population. Unfortunately, this shortage will catch up and increase the price of crude oil and gas. The other reason for a shortage could be war.

The war that had the biggest impact on prices was the Yom Kippur War. The price of crude oil in 1972 was about $3.00 per barrel. The price had quadrupled to over $12.00 by the end of 1974. This was a result of the United States showing support for Israel. Because of this support, several Arab export nations imposed an embargo on the countries supporting Israel (Williams 2010). In 1979 the Persian revolution resulted in the loss of approximately 2.5 million lay per day of production. At one point production or so halted (Williams 2010). This revolution would become the highest price in post WWII history. The conspiracy of these wars resulted in crude oil prices increasing from $14 in 1979 to $35 per barrel... If you want to get a full essay, baseball club it on our website: Ordercustompaper.com

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