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View Full Version : Oil price in world market is increasing regularly?



Scientific
3rd November 2007, 07:29
Daily I am hearing that Oil price in world market is increasing what is the cause? Is it American Imperialism who has captured on Oil resources or other causes behind it?

Thunk00
3rd November 2007, 08:03
There are two major causes--depletion of easily accessible oil in the West, and rising pressure on the West by the OPEC due to the United States' nation-building activities.

It's all a cause-and-effect kind of thing. As the United States angers other countries, those countries further limit their exports. This allows them to 'punish' the US and to make a good amount of money as oil prices surge. The only downside is that it further alienates them in the international community since they're hurting all of the non-OPEC economies of the world, but most OPEC countries don't care too much about that because they're already pretty isolated, politically.