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Impact of the oil price decline on the Soviet Union and Eastern Europe

Journal Article · · Energy J.; (United States)

The direct, spillover, and indirect effects on the Soviet Union and Eastern Europe resulting from the decline in the world market price of natural energy resources are discussed. It is explained how serious the Soviet situation will be due to energy products representing their largest source of hard-currency exports revenue. Thus far, their response of increasing their exports is in direct conflict with the interests of the OPEC member countries. In an effort to increase their hard-currency markets, Soviet cutbacks in preferentially-priced exported oil would create severe circumstances for Bulgaria, Czechoslovakia, East Germany, Hungary, and Poland. A declining world market price of oil should reduce international inflationary pressures and further reduce world-market interest rates. 1 table.

Research Organization:
Wharton Econometric Forecasting Associates, Washington, DC
OSTI ID:
5404044
Journal Information:
Energy J.; (United States), Journal Name: Energy J.; (United States) Vol. 4:3; ISSN ENJOD
Country of Publication:
United States
Language:
English