Chronology of world oil market events
Okay kiddo, let me explain to you the story of how the world oil market has changed over time.
Well, a long long time ago, people would use candles to light their homes and horse-drawn carriages to move around. But then, people discovered oil which they could use to generate electricity and power machines.
In the early 1900s, oil production began to grow rapidly, mostly in the United States. During this time, oil prices were relatively stable and low, but things started to change during World War 1.
After the war, the demand for oil increased significantly as people were using more cars and trucks. As a result, oil prices rose sharply in the 1970s due to political conflicts in the Middle East, and the Organization of the Petroleum Exporting Countries (OPEC) became a dominant force in determining oil prices.
Then, in the late 1990s, the oil price dropped due to the growing supply from new fields in Mexico, Russia, and the North Sea. The price gradually went up and peaked in 2008, mostly due to the increasing demand from emerging economies like China and India.
In 2014, the price of oil fell again due to a rise in production from shale oil in the United States and a decrease in global demand caused by a slowdown in the world economy.
Recently, there has been a shift towards renewable energy sources like wind and solar power as people become more aware of the impacts of climate change.
So, that's the story of the chronology of the world oil market events. I hope I explained it in a way you can understand.
Well, a long long time ago, people would use candles to light their homes and horse-drawn carriages to move around. But then, people discovered oil which they could use to generate electricity and power machines.
In the early 1900s, oil production began to grow rapidly, mostly in the United States. During this time, oil prices were relatively stable and low, but things started to change during World War 1.
After the war, the demand for oil increased significantly as people were using more cars and trucks. As a result, oil prices rose sharply in the 1970s due to political conflicts in the Middle East, and the Organization of the Petroleum Exporting Countries (OPEC) became a dominant force in determining oil prices.
Then, in the late 1990s, the oil price dropped due to the growing supply from new fields in Mexico, Russia, and the North Sea. The price gradually went up and peaked in 2008, mostly due to the increasing demand from emerging economies like China and India.
In 2014, the price of oil fell again due to a rise in production from shale oil in the United States and a decrease in global demand caused by a slowdown in the world economy.
Recently, there has been a shift towards renewable energy sources like wind and solar power as people become more aware of the impacts of climate change.
So, that's the story of the chronology of the world oil market events. I hope I explained it in a way you can understand.
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