The Rise Of The Oil Of Oil, Money, And Power

Another cause for the decline in oil prices is caused by an increase in consumers purchasing more fuel efficient vehicles, such as hybrid or electric vehicles. In many countries today, especially in North America, there has been an increased demand for fuel efficient vehicles. This is evident in TV commercials which are advertising more and more vehicles that get 40 to 50 miles per gallon, and by the ever increasing commercials for electric vehicles. Consumers are tired of paying outrageous prices for oil and are demanding more for their money. As this demand continues to grow, the demand for oil will decrease.

Oil has often been referred to as any economy’s lifeblood. Although this is an overemphasis, oil has been the key, nonhuman resource of the economy throughout the largest part of the 20th century. In the book “The Prize: The Epic Quest for Oil, Money, And Power” by Daniel Yergin, the author illustrates the political, societal, economic, and geo-strategic importance of this product.

The reason of the fall in oil prices are the constant change of demand. The need for the oil is actually stagnant. Crude oil is becoming a product of the past. Today, you can harvest energy from solar, wind, water, heat, and waves. According to The Economist, “The use of fossil fuels in the rich world is mostly falling. Emerging economies are not currently taking up the slack”.

High oil price for last few years drove the energy industry to come up with a new technological innovation and the result is a new drilling technique like hydraulic fracturing. This new technology made drilling easy in North Dakota and Texas (Timiraos, 2014). With more oil drilled domestically, U.S became net energy exporter instead of an importer. Also falling demand due to energy conservation, more efficient cars, less demand in China and OPEC opted against cutting production levels made the price go down. When Global economic growth was slowing and most economists agree that both supply and demand played role in the last year oil price plunge. Driven by the increased supply, oil price dropped from $82 to $50 between Oct'14 and Jan'15. The IMF summarizes 58% of the drop in oil price to supply and only 42% to demand.

Several oil-countries have been facing economic and political turbulence as a result of the crash in oil prices, and there is disagreement among OPEC as how to handle the situation. (Krauss) While this is happening, America’s oil production continues to rise, as it inches closer to becoming an energy superpower in production and consumption; and countries that depend on their oil exports face recession.

The earth contains many natural resources that humans consume daily in order to satisfy our needs. Each natural resource, once gone, will require us to find an alternative. One of the most used and consumed natural resource on Earth is oil. Oil is needed for heating homes, the generation of electricity, the creation of asphalt on roads, and the production of many chemicals, plastics and synthetics. Additionally, oil is used for transportation purposes. Once oil runs out, how will humans travel across oceans, drive to work, or trade goods from country to country? With the end of conventional oil approaching, humans needs to locate alternative ways to replace oil within transportation of cars and planes in order to satisfy the needs of humans in the future.

Economically, the oil industry will only pull us down as a country. Professionals believe that even though oil prices are falling, the production will start slowing and the prices will skyrocket again. The typical consumer would see that the price of oil barrels has fallen from one hundred to eighty dollars in the past year, but the consumer will not see the impact it will have outside of gas prices. Back in 2005, sixty percent of U.S. oil was imported, and the effects of a drop in prices would have been observed in the countries that we imported from. Today, however, only thirty percent of our oil is imported. With such a high amount of domestic oil, the low prices impacts the American

In my country, we know wealth is wasted, but under Islamic policies, there is some balance. Oil wealth is distributed just enough to keep citizens happy. Obviously many of the other oil leaders have not learned this lesson. How can the world ignore the stories here. Most of them have been happening over long periods of time. I have to say, I am ashamed of the citizens of the world right now. We buy and buy and have no concern about where all this “stuff” comes from. But with oil, we do have some idea of the dangers of using it. The BP spill was watched by the world. The Iraq wars were related to oil, especially when Saddam Hussein set the Kuwait oil wells on fire. We know Nigeria has oil, but is a terrible place to live. Where did all the oil go? Where is the World Trade Organization in all of this. The international community goes crazy when there are copyright violations. Why not human rights violations in the name of oil? If Peter Maass is correct and we have less reserves than expected, how violent will people become to control the last bit of oil left? We have put off this dilemma we thought into the future, but this could happen in our lifetime. Let us learn the lesson from Maas, and work harder to change our ways if we

In Chapters 3 and 4 of Carbon Democracy: Political Power in the Age of Oil, Miller expands his reasoning of the historical importance of oil. First, Miller frames how the control of oil resources played a major role in the cause and execution of the First World War as well as in the political restructuring that followed the resolution of the conflict. Next, he expands these ideas by showing how the European powers retained control by using the doctrine of “self-determination, or native-rule” (Miller 88). While Miller makes many notable statements, the two that exemplify his position best are, “ The translation of democracy into self-determination enabled the survival of European control, including the control of oil” (Miller 84), and “A

OPEC has consistently held the U.S. hostage with fixed oil prices and the threat of embargos. Many of the countries that belong to OPEC are not friendly to the United States, including: Iran, Iraq, Saudi Arabia, Venezuela, Libya, and Algeria. (Weil) The U.S. has declared many of these countries to be “state sponsors of terror”; however we still purchase their oil. (Fueling Terror) Increasing the United States’ oil production would give OPEC less of an opportunity to fix prices because demand for their product would fall. The peak oil production of ANWR is estimated to be up to 1.45 million barrels per day; that’s 1.45 million barrels of oil that OPEC would have to find another buyer for. They would either have to lower prices or production as a result of the flooded market. (Hastings) Currently the United States imports 4.885 million barrels of oil from OPEC daily. If we produced 1.45 million more barrels of oil per day we could cut our OPEC imports by more than twenty-five percent. (Petroleum Statistics) At $100 dollars per barrel that would be 145 million dollars that would stay in the United States every day; instead of being sent to countries that sponsor terrorism and reject basic human rights. Oil is fifty percent of Iran’s gross domestic product, fueling their ability to procure

Oil has repeatedly been referred to as any economy’s lifeblood. Whereas this is an overemphasis, oil has been the utmost key, nonhuman resource of economy throughout the largest part of the 20th century. In the book “The Prize: The Epic Quest for Oil, Money, And Power” by Daniel Yergin, the author illustrates the political, societal, economic, and geo-strategic prominence of this product. The book was published by Simon and Schuster in 2011 in New York, and contains 928 pages, as its ISBN is 1439134839. This research paper aims to provide a book review on Daniel Yergin’s “The Prize.”

The United States has been involved in the affairs of the Middle East for decades and they’ve had various reasons for being there, whether it was to wage war or to prevent outside influence that would undermine their own influence in the region, it always seemed to revolve around one thing: oil. As we all know, oil is a very profitable resource and it’s a huge part of many nations’ economies and because this is the case many wars are fought over this black liquid. The U.S. is no different in that they did just about anything to maintain their access to Middle East oil. As a result, United States actions in the Middle East today has been formed through the decades long desire for their oil.

Peak oil is described as the point in time when the maximum rate of petroleum extraction is reached, and at this point we assist to a diminution of the resource. Oil is one of the world 's most vital resource, we use it in every aspect of our daily lives, we use it for electricity, gasoline and even drugs. The disappearance of this resource can lead to a major global disaster. In an attempt to identify the potential impact of such a disaster and find alternatives energetic resources, a cloud of researchers started to focus their research around this topic. While the first researches made on peak oil where mostly focused on its plausibility, nowadays researches concentrate on determining the exact period of occurrence, as well as the economic and political impact of this event.

Since the past few decades, owning a car has become a necessity in order to commute from one place to another. However, cars do not work automatically, they require fuel. Since the past decade, the petroleum industry has become one of the leading industries impacting the nation’s economy. Oil has become an essential commodity as it is utilized in transportation vehicles, serves as a raw material for manufacturing plastics, and is utilized in homes for cooking. America’s economy is greatly dependent on petroleum as it is the “black gold” of the nation. The considerable significance of oil has led to the drilling of it, which is not only limited to land, but also the oceans. Offshore drilling is a method in which petroleum is extracted from underneath the seabed. It is one of the significant technological advancements in the past few decades. However, the ones who are involved in the process of offshore oil production are humans, and humans tend to make mistakes. In 1969, due to a human error, an oil spill occurred and natural gas, oil, and mud shot up the well and oozed into the ocean (“Offshore Drilling”). The oil spilled led to an environmental disaster which killed thousands of marine animals and distorted the environment. In order to prevent the same error, the government passed a moratorium in 1981, banning more than 85 percent of the country’s oil drilling sites (“Offshore Drilling”). The moratorium restricted the United States to mass-produce its natural resource.

Because private companies and nations have over-estimated oil reserves it is difficult to be exact but these estimates of world oil reserves are close and further research will reflect this. Also, rapid exploitation may have damaged many reserves' wells and will limit production. It may be that we (the world) have much less than is believed! The United States past its "peak oil" point back in the early 1970's ( for further research refer to Peak Oil Crisis Books) and now imports about two-thirds (2/3) of its oil. The U.S. economy and the current American way of life is supported by energy from other nations. Those nations that have not already past peak oil (maximum production) are very near it. In the future, production will decrease while at the same time demand increases. The spread between supply and demand will cause higher prices (for all products),