StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...

Impact of Global Recession - Essay Example

Comments (0) Cite this document
Summary
In the paper “Impact of Global Recession” the author analyzes a failure of financial markets, which led to the recession. Such a recession was experienced for the first time after the Second World War. Various institutions had started to fail, which led to this whole crisis…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER94.3% of users find it useful
Impact of Global Recession
Read Text Preview

Extract of sample "Impact of Global Recession"

Download file to see previous pages This all highlights the significance of this fossil fuel. The world market of oil is such that it is highly controlled by OPEC. In fact, OPEC has been thought to behave like a cartel. It especially behaved like a cartel during the 1970s when an embargo was placed on the Western economies, which plunged their economies into deep recessions (Bouchentouf, 2007). In addition, much of the oil supply is located in highly unstable markets, therefore the market of oil is highly volatile (Behr, 2009). The United States is the third largest producer of oil after Russia and Saudi Arabia (Bouchentouf, 2007). However, it consumes the production of oil drastically to support its huge industrial based economy. The United States also imports much of the oil in the world and Japan and Germany are one of the largest importers of oil. The United States and China are currently the largest consumers of oil (Bouchentouf, 2007).
Literature Review
The sudden decrease in the price of oil as shown in the figure above was because as the recession hit countries all around the world, demand gradually decreased. Because of the drastic decrease in demand, the OPEC to curb the decreasing prices cut down outputs. World oil demand continuously fell across the period from 2008 to 2009. In 2008, world demand had fallen by 0.2 percent, and in 2009, it had fallen by 0.4 percent. The Economist Intelligence Unit (EIU) had predicted at the beginning of the crash, that the ensuing years would see a decrease in the demand....
It has large importance for the world economy. The demand of oil is such that it is inelastic, that means even if the price rises, people would continue to buy it. Oil is indispensable and is a raw material for various other products. However, oil has an inelastic supply as well, that means since it is a non-renewable resource, it will eventually run out. This all highlights the significance of this fossil fuel. The world market of oil is such that it is highly controlled by OPEC. In fact, OPEC has been thought to behave like a cartel. It especially behaved like a cartel during the 1970s when an embargo was placed on the Western economies, which plunged their economies into deep recessions (Bouchentouf, 2007). In addition, much of the oil supply is located in highly unstable markets, therefore the market of oil is highly volatile (Behr, 2009). The United States is the third largest producer of oil after Russia and Saudi Arabia (Bouchentouf, 2007). However, it consumes the production of oil drastically to support its huge industrial based economy. The United States also imports much of the oil in the world and Japan and Germany are one of the largest importers of oil. The United States and China are currently the largest consumers of oil (Bouchentouf, 2007). Literature Review The sudden decrease in the price of oil as shown in the figure above was because as the recession hit countries all around the world, demand gradually decreased. Because of the drastic decrease in demand, the OPEC to curb the decreasing prices cut down outputs. World oil demand continuously fell across the period from 2008 to 2009. In 2008, world demand had fallen by 0.2 percent, and in 2009, it had fallen by 0.4 percent. The ...Download file to see next pages Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Impact of Global Recession Essay Example | Topics and Well Written Essays - 2500 words”, n.d.)
Retrieved from https://studentshare.org/business/1422022-impact-of-the-world-recession-on-the-oil-market
(Impact of Global Recession Essay Example | Topics and Well Written Essays - 2500 Words)
https://studentshare.org/business/1422022-impact-of-the-world-recession-on-the-oil-market.
“Impact of Global Recession Essay Example | Topics and Well Written Essays - 2500 Words”, n.d. https://studentshare.org/business/1422022-impact-of-the-world-recession-on-the-oil-market.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Impact of Global Recession

The impact of Plant Disease on New Zealand

Transmission of PMTV occurs through inoculation of sap in 26 species belonging to Solanaceae or Chenopodiaceae and to Tetragonia expansa and also through grafting (A. Reavy., W. Kashiwazaki., & Barker,1995 ). In some cases, PMTV is known to be transmitted by mechanical inoculation also.

Since PMTV is vectored only through S.subterranea the infection of plants with PMTV depends on the life cycle of S.subterranea which takes about 10-14 days. The life cycle of S.subterranean takes place in 2 phases: Phase I) This is the primary stage of the life cycle initiated with the germination of resting spores known as sporangiosori or cystosori persisting in the soil as spore balls with thick cell walls into zoosporangia. These...
6 Pages (1500 words) Report

Global Culture on Fast Track

Lifestyles are changing fast to invite international practices. Youths in large numbers are instrumental to change to live in a free environment. They are resisting ‘no change’ attitude and fighting for the new environment where they can express freely what think right to make a modern culture. The change is undergoing automatically and being accepted by most of the resistant quarters.

Globalization does not create a common culture, values, attitude or beliefs as mentioned above. It gives way to a single arena in which people of different cultures interact and present their values for comparisons, analysis, acceptance or rejection on certain standard yardsticks. This is the internationalist version of global...
6 Pages (1500 words) Essay

The Impact of Comic Books on Boys and Girls

Marvel comics made the first important steps in the particular sector – at the decade of 1960s, the firm presented through its books a series of innovative stories that have until today a significant influence to the public - the characters and the appearance of the stars of Marvel and the other firms that govern the specific sector since the decade of 1960 will be analyzed in the sections that follow. The current paper refers to a specific aspect of the particular sector (comic books): the perspectives of the firms operating in this industry on boys and girls; special reference is made to the change of these perspectives from the 1960s until today. Marvel is used – among other firms – as indicative example of th...
15 Pages (3750 words) Research Proposal

The Economic Impact of the Emergence of China and India

The main macroeconomic variable that toys in the global economy’s shift are the emergence of India and China as new superpowers. This emergence certainly has a number of implications, but among the most relevant are: disruption of the equilibrium of the global economy which results in rising demand of goods, giving way to worldwide inflation; the attractiveness of outsourcing to these countries due to low cost but high talent workforce of these countries for cheaper operations.
The growing middle class of China and India results in booming demand for the automobile industry. This increase in demand, with the increasing purchasing power of these countries’ people, is not limited to automobiles but more apparent in...
10 Pages (2500 words) Assignment

Global Warming and Food Production

The carbon fertilization effect of increased carbon dioxide concentration in the atmosphere has an impact on plant growth, which benefits plant growth by facilitating photosynthesis, cannot balance the complex impact of increased temperatures around the world. Thus, although some regions will benefit from global warming, a total reduction in global agricultural production will result. This essay presents a discussion about the impact of global warming on agriculture and food production around the world.
Although the history of the planet earth suggests that for the last million years ice ages have been interspersed with warmer periods, evidence suggests that the average rate of global warming within the recent past has accele...
14 Pages (3500 words) Assignment

The Importance of Employee Empowerment in the Global World

Empowerment is the authority to make decisions within one’s area of operation without having to get approval; from anyone else. Here the operatives are encouraged to use their initiative to do things the way they like. To this end, the employees are given not just authority but resources as well so that they not only take decisions but implement them quickly. This empowerment means giving the employees the authority to make decisions and providing them with financial resources to implement these decisions (Koch & Godden, 1997 11).
Employee participation and empowerment participation means sharing the decision making power with the lower ranks of an organization in an appropriate manner (Lashley & McGoldrick, 199...
9 Pages (2250 words) Assignment

Global Challenges for Business Management and Leadership

This section aims at understanding the challenges faced by the United Nations due to political conflicts. In the summer of 2007, an issue in the Politically Speaking, the DPA had highlighted the increased focus on the conflict meditation. This report had also highlighted the interview with the Under-Secretary-General for political affairs. In the interview, he defended the UN against all the criticism and he also highlighted the need for finding political solutions for issues around the world. The interview also highlighted the importance of results to show the effective working of the UN. This interview also highlighted and urged critics to look at the positive along with the negatives of the UN. “The UN has knowledgeable a...
7 Pages (1750 words) Research Proposal

Impact of Motivational Factors upon Employees at Bank AlFalah and Standard Chartered Pakistan

The impacts of these policies upon the employees of the banks will be studied with the help of the responses of the employees of both of the banks. The proposed research study will present the case studies of these two banks by employing a qualitative research approach. The data and information for the study will be collected through secondary and primary resources i.e. through literature review and in-depth interviews of the employees of both the banks. The study will help in the identification of the major strengths and weaknesses present in the motivational policies of these banks and will allow proposing the formulation of improved policies.

Motivation basically refers to satisfying one’s needs through differe...
14 Pages (3500 words) Research Proposal

The Great Recession and France

Some countries have pushed for an international consensus on issues of concern to all. France, which has suffered severely from the crisis, with an economic contraction and rising unemployment, has tried stand in opposition to the UK and the United States both of which believe minor financial regulations can alter and improve the situation—France would like to see more wide-ranging reforms accomplished through the increased unification of Europe. Efforts to deal with the crisis have led the French government to seek out more partners in Europe and try to push Europe wide reforms and a sort of European (as opposed to American) new capitalism. The government of Sarkozy has criticized British tax cuts and suggested the key to g...
8 Pages (2000 words) Coursework

Global Employee Information and Consultation: Replicating the European Model

...Global Employee Information and Consultation: Replicating the European Model INTRODUCTION The only way for the employees and their representatives to reach the level of multinational corporations is to create an effective transnational mechanism that facilitates consultation and information disclosure. The European model (EWC) is an example of an institution that intends to provide employees voice in the transnational arena. The information dissemination and consultation arrangement enable employee representatives to participate in discussing issues that pertains to their employment. However, there is a need to analyze whether EU style of legislating a mechanism shall be effective if replicated globally. The answer in part depends...
9 Pages (2250 words) Coursework
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Impact of Global Recession for FREE!

Contact Us