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The degree of dependence of the users on the oil and gas and their flexibility to adopt alternative sources of energy under the circumstances of rising oil prices determine the competitive advantage of the major oil exporting nation over the others and the degree of aggression of these economies over other countries due to the competitive advantage in the international economy (Bentley, 2002, p.199). The movement of gas prices in relation to the oil prices, the volume of used of gas and other forms of energy like electricity, solar energy, hydro-electricity used in the economies determine the impact of oil prices on the economies all over the world. In general circumstances, the rise in the oil prices leads to higher amount of national income for the oil exporting countries of the world.
According to the recent report of OECD, the prices of oil are expected to soar up to 190 dollars till 2020 in terms of real value of money in today’s economy. Due to the rise in the prices of oil, the net oil importing countries face situations of economic slowdown due to the rigidity in the structure of their economies (Sengupta, 2011, p.35). The minimum wages to be paid to the labours, the cost for importing the oil from the major oil exporters, the degree of economic investments are all affected by the rise of oil prices. The oil importing economies have to transfer more national income to the international oil exporters for importing the same volume of oil. Thus the volume of oil imports tends to decrease in a situation of rising international oil prices (Mankiw, 2011, p.82). This leads to slowdown of investments in the economy of the importing countries. The subsequent implications for the net oil importing countries are inflation in the economy as the supply of goods and services are not able to meet the demand of the markets. Due to circular flow of money, the
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The author says that Libya and Iran are two oil-rich countries where nationalization of international oil companies have taken place with various legal problems where the International Court of Justice (ICJ) have intervened and have declared various decisions. The large multinational oil companies have attained efficiency.
The most widely used definition refers to sustainable development as the development that addresses the needs of the present generation without compromising future generations’ ability to meet their own needs (Worila, 2007, p.153). What makes sustainable development hard to specifically define it in a particular way is the fact that the needs of a society vary across regions and they are hard to specify at one given point in time.
One of the key factors is the government related legislative policies and other laws, which will influence the organization while selecting the entry mode. Selecting an optimum entry mode and aptly formulating the initial establishment process is half a battle won.1 This being the case, Atlantic Oil while entering Polenskya is planning to go for the production sharing agreement.
4 Internationalization of Universities in Russia and China- 5 Management of their global competition by the ‘oil capitals’ 5 Oil Cartels 5 OLI Model 6 Responses for stakeholders and universities strengthening local capabilities for innovation in both the developing and developed economies 6 References 8 The role of government as a stakeholder in strengthening local capabilities for innovation in both the developing and developed economies The role of government as a stakeholder seeks to strengthen local capabilities for innovation in both the developing and developed economies in different parameter.
The supply of these resources is supposed to be controlled by the economic factors. However, other than the economic factors non-economic and political factors have also played their part in bringing unsteadiness in the oil prices. There are different developments that have affected the political economy of oil.
This paper intends to establish why the oil and gas exploration and production sector attracts global investors. It aims to know the basics of oil production and the profiles of the multinational key players, which, for the purpose of this research are identified as the various country-investors namely the US, the Middle East, Africa, Russia, Japan, China, India, and the Philippines.
(U.S. Dept. of Energy, 2008) Due to the limited supply of oil and natural gas, Pakistan remains highly dependent on the importation of crude oil from other countries.
Pakistan government is very much alarmed with the necessary improvements
The transition from authoritarianism to a liberal, democratic and free market system of governance can have a variety of important ramifications in the social, political and economic spheres. Bureaucratic
The protection of the environment due to oil and gas mining is well regulated in developed energy mining countries. There are strict environmental standards that have been directed to the energy mining industries in the developed
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