write2syeed
New member
The Organization of the Petroleum Oil Price Movement
Exporting Countries (OPEC) was created at
The 1973 oil crisis began on October 17,
the Baghdad conference on September 10-14,
1973, when the members of Organization of
1960. It is made up of 11 developing nations,
Arab Petroleum Exporting Countries
whose economies rely on oil export revenue.
(OAPEC, consisting of the Arab members of
One of OPEC’s primary missions is to
OPEC plus Egypt and Syria) announced, as a
achieve stable oil prices, which are fair and
result of the ongoing Yom Kippur War, that
reasonable for producers and consumers.
they would no longer ship petroleum to
Looking at oil price movements over a
nations that had supported Israel in its
period of time, it is observed that the major
conflict with Syria and Egypt (i.e., to the
surges or shocks are directly related to a few
United States and its allies in Western
major events namely:
Europe). Due to the dependence of the
* Post-Graduate Students of Mumbai University, Economics Dept. The views expressed are the
views of the authors and not necessarily of CCIL. The write up was prepared during their Summer
Internship at CCIL in May-June'06.
Nandini Aggrwal and Asawari Sathaye*
Source: http://www.wtrg.com/daily/clspot.gif
OIL PRICE AND ITS EFFECTS
Exporting Countries (OPEC) was created at
The 1973 oil crisis began on October 17,
the Baghdad conference on September 10-14,
1973, when the members of Organization of
1960. It is made up of 11 developing nations,
Arab Petroleum Exporting Countries
whose economies rely on oil export revenue.
(OAPEC, consisting of the Arab members of
One of OPEC’s primary missions is to
OPEC plus Egypt and Syria) announced, as a
achieve stable oil prices, which are fair and
result of the ongoing Yom Kippur War, that
reasonable for producers and consumers.
they would no longer ship petroleum to
Looking at oil price movements over a
nations that had supported Israel in its
period of time, it is observed that the major
conflict with Syria and Egypt (i.e., to the
surges or shocks are directly related to a few
United States and its allies in Western
major events namely:
Europe). Due to the dependence of the
* Post-Graduate Students of Mumbai University, Economics Dept. The views expressed are the
views of the authors and not necessarily of CCIL. The write up was prepared during their Summer
Internship at CCIL in May-June'06.
Nandini Aggrwal and Asawari Sathaye*
Source: http://www.wtrg.com/daily/clspot.gif
OIL PRICE AND ITS EFFECTS