How Energy Plays A Vital Role As A Catalyst For Economic Growth And High Standard Of Living

This year we have seen more electric and hybrid vehicle startups than ever before.” (Morrison) Nearly everyone recognizes the benefits of the shift, both in terms of how it would help our environment in the long term, but also the economic impact it would have, (reduced gas costs, lower electric and other utilities bills... etc.) But still, many large companies work to impede the progress in favor of maintaining our dependence on fossil fuels. The American Petroleum institute has worked with many oil industry protection companies to stymie the renewable energy movement, even in some cases, “posing as environmentalist groups in order to attract the support of environmentalists while simultaneously pushing their anti-renewable agenda.” (Blankenhorn) Many of these companies striving against renewable energy also support the building of the Keystone pipeline, using the justification that the building of the pipeline would lower gas prices. But what they fail to acknowledge is the basic economic fallacy of this, “Fossil energy prices are not going to fall. The more you remove carbon-based resources from the ground, the more it costs to get more.”

Between 1990-91 and 1995-96, total fossil fuel subsidies in 14 developing countries that account for 25 percent of global carbon emissions from industrial sources declined 45 percent, from $60 billion to about $33 billion)…Within the past six years, India, Mexico, South Africa, Saudi Arabia, and Brazil also cut fossil fuel subsidies significantly…Many developing countries are also actively promoting energy efficiency and renewable energy.

Coal and natural gas are the United States’ main fossil fuels used as energy sources. These fossil fuels both contain mixtures of hydrocarbons, which is a chemical compound of carbon and hydrogen (Olah, 2005). Currently, fossil fuels provide eighty-five percent of commercial energy, such as businesses, worldwide and this eighty-five percent does not even account for residential use. Imagine if the residential energy use was accounted for in that eighty-five percent (Davison, 2007). According to Goodell (2006), “Between 1950 and 2000, the world population increased by 140 percent and fossil fuel consumption increased by 400 percent. By 2030, the world’s demand for energy is expected to more than double,” with most of the electricity

As a political science major with a focus on international politics, energy and the environment are not just a means to an end but instead they are the focus of the work itself. Rather than studying business and needing energy to run things effectively, the study of international relationships is in the business of dealing with these large topics in energy reduction especially as they relate to reducing carbon emissions. The deeper one dives into the real core of worldwide energy production the more complicated and hopelessly confusing it may seem. With thousands of government policies dictating energy production, and hundreds of governments acting around the world to come to agreements concerning emission and environmental protection, the concern of global climate change as a result of carbon emissions has been seen by many as beyond hope.

International Monetary Fund of the forty two developing and emerging countries market survey including India, China and Middle East had finding that less than the half full passed world higher oil prices thought to retain customers. The incentive reduced subsidization to the contribution and conservation to the price rise by oil demand sustainability in the crude oil price relative face. The retail price of diesel in many countries, a crude oil refined product, the crude oil used in making the diesel is less than its actual price.

Despite many calls for reducing subsides for fossil fuel and nuclear power; in practise this proves political difficulty (Beck, Martinot 2). Renewable energy sources generally requires higher amount of financing for the same capacity as of non-renewable. Depending on these circumstances, capital markets may demand a premium in lending rates for financing renewable source of energy (Beck, Martinot 2). Renewable energy technology faces the higher taxes and import duties. These duties may exacerbate the high initial cost relative to non-renewable energy sources (Beck, Martinot 2). Since, renewable projects are generally smaller projects than conventional projects, they also need higher transaction cost. These projects may require additional information not readily available, may require additional time and may require additional time sources (Beck, Martinot 2). These small projects encounter problems because of unfamiliarity with technology and uncertainty over performance. Based on these reasons the cost of energy project – including resource assessment, sitting, permitting, planning, proposals, will require vast amount on a per kilowatt (kW) capacity basis than for conventional power plants.

The European Commission has put forward a set of financial legislation to stabilize both financial markets and energy prices. This article assesses the impact of this financial regulation on energy markets. It shows that the theoretical and empirical effects of key elements in this legislation are ambiguous. It argues that, if enacted, particular market parties such as energy companies

The United States must realize the trend, and act accordingly to maintain soft power. With the “Go Green” campaign, many corporations actively try shifting towards renewable technologies with enhanced innovation. Kearns, a current director of Domestic Energy Policy at the Center for American Progress, cites how “technological progress often helps create opportunities for emissions reductions and economic growth”, which “have created opportunities for customers to reduce energy use while saving money”. Reducing energy leads to better allocation of energy, to increase energy efficiency. Energy efficiency is key to the success of the program, because the system provides safe economic landing for a radical change from oil-market to the renewables-market. As time progresses in the next five to ten years, the shift of fossil fuel based economy to renewables will in many ways damage the international oil market, but the plan provides gradual develop to act as safe cushion for next future generations to come. Combination of privatization of renewable companies like Exxon and BP through the public voluntary programs, the United States can better produce affordable, and effective distribution for citizens to access.

Currently, fossil fuels provide the majority of our nation’s energy demands. Some studies suggest that the dependency rate is calculated at approximately 80% to 85% (Kalb). There are many factors that contribute to this high rate of reliance on fossil fuels. Nonetheless, this rate places the United States at the mercy of foreign oil producer’s. Moreover, it does not help that some of these oil producing countries are unstable or are at odds with the United States’ foreign policy. Therefore, prices on fossil fuels tend to fluctuate regularly. Though, over the past two decades, science and technology have been working in concert to hone the potential use of the earths replenishing energy sources. These advancements have led to a small surge in the growth of renewable energy. Beckrich writes, “In the United States, according to the U.S. Energy Information Administration (EIA), renewables accounted for only 7% of the country’s

A goal that GCC monarchies should strive for is greatly reducing domestic consumption of hydrocarbons. This would free more resources to be exported and thus boosting government revenues. As it has been stated, Saudi Arabia’s internal consumption of oil and gas is increasing at 7% yearly, and it is expected to double in a decade; a similar occurrence is taking place in Qatar and other wealthy countries of the Persian Gulf. In this regard, Reiche (2008) put forth the case of Norway: the Scandinavian country is a net provider of fossil fuels, yet, according to the Norwegian government , roughly 98% of its electricity is generated by hydropower, which emits no greenhouse gas. This allowed Norway to devote almost the entirety of its oil

In today’s World there is a huge debate going on about the creation of jobs and GDP or environmental issues and clean energy. Approximately 59% of voting Americans think that job creation is more important than the protection of the environment. This number is very alarming considering that there has been several studies conducted showing that our continued use of fossil fuels has been damaging the environment at an alarming rate. In order to fix this problem, a transition from these fossil fuels to cleaner energy is necessary. Clean energy sources include solar power, wind power, hydropower, geothermal energy, or anything else that includes an inexhaustible resource. These sources of energy would effectively produce significantly less

The contemporary industrial sector has been built on the capacity created by energy. The bulk of human activities from survival to economy rely on the use of energy. Indeed, widespread access to energy has a significant influence on the level of achievement a particular jurisdiction achieves (Johnstone, Mayo and Khare 572). Access to energy sources determines the quality and course of life undertaken by the residents of a specific region. Numerous factors interact to determine the supply of energy. Among them include the cost, quantities available and the extent of availability. The fact that fossil fuel is the primary source of energy means that distribution is uneven. It should be noted that oil, coal, and natural gas account for three-quarters of the global energy consumption. Indeed, it is estimated that traditional forms of energy such as wood and animal dung form the primary source of energy for close to two billion people across the globe. The realities raised by the use of fossil fuels create an incentive to explore alternative forms of energy sources. The use of hydrogen as an alternative source of energy provides several new advantages to the world in terms of abundance, pollution, and its future importance to the business world along with everyday use to the people.

In the late 1970s (during the energy crisis) and early 1980s, the relationship between energy consumption and economic growth was in focus. Studies on oil prices have identified two main categories: those on developed oil importing countries, which comprise most of the literature, and developing oil exporting countries, which are scarce due to a lack of data in these countries. More specifically, I have categorized the literature into three categories: First, I analyse studies on developed countries, which are oil importers. Second, I explore the research on developing countries, which are oil exporters. In oil exporting countries, oil revenue is the key funding source of government expenditures, and therefore fiscal and monetary policies depend on oil prices (Rosser & Sheehan, 1995). And third, I analyse the research on Iran as one of the largest oil exporting countries and also one of the biggest oil reserve holders.

Energy has always been an essential resource to the human race. During simpler times all the energy required for living was obtained through food and fire. However, as humans developed and created new technologies a different type of energy was required. Thus, the first coal powered machines were created such as the steam engine. Over time technology kept improving and became more complex; as a result, the energy needed to power the world increased, but little changed in how it was obtained.

“Energy security is a growing concern for rich and emerging nations alike. The past drive for fossil fuel energy has led to wars, overthrow of democratically elected leaders, and puppet governments and dictatorships.” There are many concerns and fears which include oil and other fossil fuel depletion, reliance on foreign sources of energy, energy demands rising from advancing developing countries such as China and India, economic efficiency versus population growth debate, and renewable and other alternative energy sources. (Shah, 2009).