Discuss how rising oil price might affect the macroeconomic performance of an economy (25 marks) In economies‚ oil is a highly desired resource that plays a key role in the production of goods and services and in the provision of energy‚ meaning that even small fluctuations in its price can lead to supply side shocks for nations as well as lower demand for imports as a component of aggregate demand. A supply side shock is a shock that will shift the Aggregate supply curve and in the case of oil will
Premium Inflation Supply and demand Economics
Demand on the Price of Oil Each time you pull up to the pump or open your utility bill‚ you may notice the price of fuel may have changed. There are many factors that can influence fuel prices. The marketplace forces of supply and demand determine the price of fuel. If demand grows or if a disruption in supply occurs‚ there will be upward pressure on prices. By the same token‚ if demand falls or there is an oversupply of product in the market‚ there will be downward pressure on prices. Those principles
Premium Petroleum OPEC Benchmark
The Extreme Inequality is Damaging to the Economy In Jonathan Rauch’s article called The Wealth Divide Between Rich and Poor Harms the US Economy he talks about how the large gap between the upper class and the lower and middle classes is‚ contrariwise to past beliefs‚ actually quite harmful to the economy. So much so that it has and can causes depressions. Many progressives are beginning to believe that inequality has already reached damaging levels‚ which has not been the mainstream economic consensus
Premium Economics Household income in the United States Working class
How shoplifting affects prices in the store Do you hate the high prices in the store? It is because of all of the shoplifting that happens on a daily bases. Prices keep going up every year in stores. Part of the reason is shoplifting There are three main forms that affect us. The first thing is that the prices have increased in recent years due to the stores having to cover the cost of shoplifting. The second one is that shoplifting effects the entire community in many different ways. The third
Premium Marketing Business Economics
How Does The Constitution Work and How Does it Affect You? The president is the chief executive and is charged with enforcing the laws. The heads of all the government departments report to him. He is responsible for managing the government and spending the money that congress appropriates. He is the commander in chief of the armed forces but is a civilian. He can‚ with the advice and consent of the Senate‚ negotiate treaties and appoint justices of the Supreme Court and judges of lower courts
Free President of the United States United States United States Constitution
For drilling in the USA Drilling in the United States is the best thing that we could do for our economy and for everyone as a nation. There are a lot of factors as to why we should be creating jobs‚ making money for the United States and protecting wild life and our oceans through land drilling. Drilling in the United States will benefit us in many ways. According‚ to Portal Seven‚ our current unemployment rate under President Obama is at 9.4%; that’s the U-6 report. Drilling in the United
Premium Petroleum United States
severe hurricane like Katrina‚ which occurred in August‚ 2005. This paper‚ based on secondary research‚ discusses the influences of Katrina on the American life. In particular‚ the findings explore and answer three questions of what this hurricane was‚ how it damaged the most developed country in the world and what responses were given by the authorities and the non-governmental organizations together with the criticisms of the people. Finally‚ the paper draws conclusion that Katrina remarkably altered
Premium Hurricane Katrina Louisiana Tropical cyclone
The Rise and fall of Oil and Gas Prices 12/13/09 The U.S Benchmark sets the oil prices depending on the supply and demand. Gas and oil prices are rising and falling so much because of the number of investors‚ and the demand among the American people. The U.S. Benchmark sets the oil prices according to the supply and demand for oil‚ in a little town call Cushing‚ Oklahoma. The demand for oil this year had plunged twenty [Express numbers higher than nine in digits (when not
Premium OPEC Petroleum Passive voice
atmosphere which provides a temporary feeling of escape. When relaxing in a bath try not to think about the past or the future‚ but rather the present‚ and if the thoughts come to mind try redirecting them to the present. Adding different essential oils to a bubble bath can help the mind relax‚ with the hot temperature still present on your body when getting out of the bath‚ the air cools you done releasing melatonin‚ signalling to you that it’s time for bed. This is why candles‚ bubbles‚ and rose
Premium Music Emotion Psychology
Caffeine Concerns How many times have you felt a bit tired and decided to rely on an energy drink‚ a cup of coffee‚ or a can of cola to charge your body with caffeine and boost your energy levels to maximum? If your answer is “frequently” then you are on a precarious path to poor health. Not only does caffeine have numerous emotional side effects‚ it will also disrupt your sleep‚ and cause harm to your body. For all of its immediate benefits‚ caffeine is one of the most harmful substances in the
Premium Caffeine Coffee Drink