After the oil glut

Journal Article · · Brookings Bull.; (United States)

OSTI ID:5136916

Fried, E R

There was inaction and complacency during the recent oil glut because of assumptions that the worst of OPEC's impacts is over and that market forces can handle a future disruption should it occur; the author feels this was a mistake. It is important to consider the fundamental world-market changes since 1973 as oil consumption began shifting from industrialized to energy-inefficient developing countries and the communist countries began shifting from net oil exporters to net importers. While the present situation looks good, a number of risks and uncertainties (such as stronger economic growth, weaker price elasticity, a nuclear moratorium, or a rapid decline in Soviet oil production) suggest caution. The Western countries have developed a workable energy-security system, but preparations for a new shock should include larger mandatory oil stocks, the power to restrain oil demand during an emergency, and energy help for oil-importing developing countries. (DCK)

• OSTI ID: 5136916
• Journal Information: Brookings Bull.; (United States), Journal Name: Brookings Bull.; (United States) Vol. 18:3-4; ISSN BROBA
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700 -- Petroleum-- Economics
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
294002* -- Energy Planning & Policy-- Petroleum
ECONOMIC IMPACT
EMERGENCY PLANS
ENERGY SOURCES
FOSSIL FUELS
FUELS
INTERNATIONAL ORGANIZATIONS
MARKET
OIL-EXPORTING COUNTRIES
OPEC
PETROLEUM
SUPPLY DISRUPTION