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Essay

Rise & Fall Of Oil Prices In 2008 - Speculation

Essay specific features

 

Issue:

Business

 

Written by:

Ilse H

 

Date added:

February 6, 2012

 

Level:

University

 

Grade:

A

 

No of pages / words:

6 / 1425

 

Was viewed:

2604 times

 

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Essay content:

In the summer of 2008, prices were at an all time high following a slow steady climb and once again, around the election the prices dropped dramatically. The context of this drop in price was much different- the US was in the midst of a serious financial crisis. Quite simply, it looked like a market crash correlated with the change in prices at the pump...
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Quite simply, it looked like a market crash correlated with the change in prices at the pump. However, mainstream media news sources repeatedly reported that the dramatic fall in prices- currently about one half of what they were mid summer- were due to decreases in global demand. It seemed highly implausible that consumer demand- reacting to the mortgage crisis- could suddenly drop enough to justify 50% price decrease at the pump- people around the world still had to commute, trucks had to keep shipping, factories still had goods to produce, households still needed light, heat, and power...
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