Yahoo Answers is shutting down on May 4th, 2021 (Eastern Time) and beginning April 20th, 2021 (Eastern Time) the Yahoo Answers website will be in read-only mode. There will be no changes to other Yahoo properties or services, or your Yahoo account. You can find more information about the Yahoo Answers shutdown and how to download your data on this help page.
Trending News
Correct me if I am wrong.?
If the value of the dollar is what is causing oil prices in the US to be so high, then why is every other country also complaining about the price of oil.
If oil is traded in dollars, and I work in euros, When the dollar goes down I can buy more dollars, therefore oil in the European nations should be cheaper in comparison.
The true problem is this.
The demand in the world has gone up. China is using more, African nations are using more, the US is using more, etc. Therefore demand is up. The supply of oil has remained relatively steady (give or take a couple million barrels a day).
so economics says supply constant - demand increase therefore price increase.
to compensate for this either supply has to increase or demand has to go down.
am I misguided...
Thanks subwlimnuflik, I did not know that about the Euro, so that was probably not a good choice for an example, but fill in peso, ruble, whatever...
William f, i do agree, the dollar is making it harder for the US, but the value of the dollar would not account for worldwide oil price spike, especially when the value of the dollar is low.
11 Answers
- suthrnlyts™Lv 71 decade agoFavorite Answer
No sir, you are correct.
Global thirst for oil is intense. Demand has risen by about 3 million barrels a day since 2005 and is expected to rise by 32 million barrels a day in the next two decades
The US remains the world's largest oil consumer and high individual fuel usage continues to put pressure on crude stockpiles
Fast-growing China and India are forecast to account for 40% of the growth in oil demand by 2030, as industry grows and demand for travel increases
- jehenLv 71 decade ago
Part right, Part wrong. In Europe, the effective price of oil is about $80/bbl because it takes $1.60 make a Euro. But 5 years ago everyone oil was about $30/bbl. It's not that other countries are not feeling the pain of higher oil prices but in countries with currencies strong against the dollar, they are not feeling as much pain.
- Tinman12Lv 61 decade ago
Oil is traded using US dollars. That is why the president of Iran is pushing for oil to be traded using the Euro instead of the dollar. But not too many countries are rushing with that idea considering that the European Union lost its final bid to ratify its constitution (Lisbon Treaty). Ireland (I love the Irish) vetoed it. So it is not looking good for the EU. There are cracks developing in the EU as of late. Some countries are not happy with their decisions about the EU.
- Anonymous1 decade ago
Not completely. The Euro is capped at 1.68 currently trading at 1.5915. Oil is generally more expensive in European countries 1. because there are few European oil exploration companies 2. European countries generally tax fuel at a greater rate than the US. On your other points you pretty much hit the nail on the head.
- How do you think about the answers? You can sign in to vote the answer.
- 1 decade ago
You are correct but you should also add the fact that many of the African countries who have an increased need for oil have plenty of their own and very little love for the US. The changes in regime and their increased knowlege concerning how to refine it themselves is an increasing problem.
- Anonymous1 decade ago
If the falling price of the dollar is to blame, then we would really be paying the same amount for gas just different numbers.
- Puller58Lv 71 decade ago
All part of the unholy mess. Pretty stupid, but solving the problem may exceed our ability to produce oil in sufficient volumn to meet the demand.
- Anonymous1 decade ago
Its the dollar more than it is demand. But both are factors.
- Anonymous1 decade ago
No. But democrats will fight tooth and nail to protect the habitat of the "cockroach". In a democrats tiny little mind bugs are more important than people
- ?Lv 45 years ago
3) (x+6) (x-5) = x^2 + x - 30 6) (x+3) (x-4) = x^2 - x + 12 10) (2x-3) (x-5) = 2x^2 + (-10x - 3x) + 15 = 2x^2 - 13x +15 11) (3x-2) (4x+5) = 12x^2 +24x -10 = 12x^2 + (15x - 8x) -10 = 12x^2 +7x - 10 12) (2x+6) (-x-5) = -2x^2 + (-10x - 6x) - 30 = -2x^2 - 16x - 30 13) 4( x+3) (x+2) = (4x + 12)(x + 2) = 4x^2 + 20x + 24 14) 2(x-5) (x+6) = (2x - 10)(x + 6) = 2x^2 + (-10x + 12x) -60 = 2x^2 +2x - 60 15) 2x(x-6) (x-7) = (2x^2 - 12x)(x - 7) = 2x^3 - 14x^2 - 12x^2 + 84x = 2x^3 - 26x^2 + 84x sixteen) 3x(2x-3) ( 2x-5) = (6x^2 - 9x)(2x - 5) = 12x^3 - 30x^2 - 18x^2 +45x = 12x^3 - 48x^2 + 45x