Impact of Oil Assignment Example | Topics and Well Written Essays - 250 words

Impact of Oil - Assignment ExampleMoreover, during the same period there was increased demand for oil in numerous nations including china and India due to their increased industrialization (United States, Maloney, and Schumer, 2007). The subsequent instabilities in oil production and increase, in oil equipment casualty per barrel of the 2000, s had no destructive loading on the United States Economy. Therefore, it is apparent that the current effects or instabilities on the oil prices have little effects on the United States economy, as it was the bailiwick in the mid-seventies and 1980s.The main reason towards these changed effects is that there has been a reduction on energy (oil and gas) spent in producing each dollar in the United States output. Additionally, there has been a shift in production techniques, that is, the current technologies only require a small amount of energy for production compared to the 1970s and 1980s technologies (United States, 1991). Economic expert s estimate the current United States economy to be less than 33 percent dependent or sensitive to oil price fluctuation unlike over 55 percent less sensitivity in early 1980s and even more in the mid-1970s. (United States, Maloney, and Schumer, 2007) Finally, the Federal administration has since developed vigilant and adept monetary policies of handling inflationary