Rising Oil Prices - Research Proposal Example

Only on StudentShare

Extract of sample
Rising Oil Prices

Fuel prices have risen and affected every nation in the world since the early years of this decade. Nandia Mongia (2008) reports that crude oil prices have increased in the world market from 22 U.S. Dollars up to almost $90 U.S. Dollars per barrel. This affected the prices of petroleum products like diesel, kerosene, propane, and gasoline and hit lower-income households. Figure 1 shows the rising trend of oil products from 2000 up to 2006.
Mongia (2008) mentions five (5) reasons for the rising of oil prices: (1) increasing demands for oil in the world market, (2) reduction of buffers, (3) uncertain oil supply, (4) assumption in the global oil market, and (5) lack of investments on exploration and refining. Robert Hirsch et al. (2005) mentions the notion of oil peaking. They note as perceived by geologists, oil is a limited source found under the earth's crust and its production will soon reach its peak or maximum and from there production will decline. They also emphasize that oil peaking is not related with running out of oil but it only describes the maximum production rate of an oil reservoir when half of its oil is recovered. (Hirsh et al. ...
Download paper


METHODS: Data gathering from current news as well as other research articles published by scholars relating to the issue of rising fuel prices. This paper will provide discussion of the causes and initial impacts of the rise of fuel in the world market and economy as well as on low-income households.
Author : harry38

Related Essays

Macroeconomics-Oil Prices Relationships
10 pages (2510 words) Essay
The Cause and Effect of Rising Oil Prices
5 pages (1255 words) Essay
Why Are Oli Prices Growing?
3 pages (753 words) Essay
Oil Prices Essay
5 pages (1255 words) Essay
Oil and Business
6 pages (1506 words) Term Paper
How have oil prices affected our economy?
3 pages (753 words) Essay
Got a tricky question? Receive an answer from students like you! Try us!