Economic background of the oil crisis

Book · Wed Jan 01 04:00:00 EST 1975

OSTI ID:7283785

Darmstadter, J; Landsberg, H H

An accelerated growth in overall energy consumption, and petroleum consumption in particular, with increased dependence on the Eastern Hemisphere set the stage for the economic shocks of the 1973 oil embargo. While per capita consumption of energy was increasing in the U.S., domestic investment in oil lagged and combined with foreign tax credits to encourage dependence on foreign supplies. Thus boxed in, there was no short-term escape from the high prices imposed by the OPEC nations. Since 1974 however, some steps have been taken to (1) transfer funds from consuming to exporting nations as the capacity of OPEC nations to absorb goods and services increased, (2) lower the growth rate of energy consumption in the U.S., (3) develop other sources of energy, (4) develop domestic supplies of oil, (5) set up a 90-day reserve program, and (6) set up a mutual aid pact among consuming nations. (DCK)

• Research Organization: Resources for the Future Inc., 1755 Massachusetts Ave. NW, Washington, DC
• OSTI ID: 7283785
• Country of Publication: United States
• Language: English

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AGREEMENTS
DATA
ECONOMICS
ENERGY CONSUMPTION
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