Changes in Oil Market from 2007-2009 and Effect on World Market
Tạp chí Nghiên cứu Quốc tế / Số 3 (78)
Written by Nguyễn Văn Lịch
Tạp chí Nghiên cứu Quốc tế - Các vấn đề Quốc tế
This is an attempt by the authors to find out the causes of the recent oil price hike. They identified the objective and subjective reasons. They are for subjective reasons, political instability in the world, low US oil reserve, decision by the OPEC, the fluctuation of the US dollars, speculation and a rise in the demand for oil. The authors also give the objective reasons as difficulties in oil prospection and exploitation, dwindling oil reserve.
In the last two years, oil price hike has increased inflation in all economies, reduced economic growth in many countries. World inflation increased from 4.0% in 2007 to 4.8% in 2008. It has also increased the trend toward regionalism as countries shift to suppliers closer to home. We should try to find ways to cope with the adverse effect of the hike. The measures can be saving energy, subsidizing the consumers, cooperating with major powers and OPEC member countries. Most important of all is to try to find substitute energy sources. This is not a problem limited to a country by one that needs cooperation of all countries.
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