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Monthly Archives: December 2014
How increased inefficiency explains falling oil prices
Since about 2001, several sectors of the economy have become increasingly inefficient, in the sense that it takes more resources to produce a given output, such as 1000 barrels of oil. I believe that this growing inefficiency explains both slowing … Continue reading
Ten Reasons Why a Severe Drop in Oil Prices is a Problem
Not long ago, I wrote Ten Reasons Why High Oil Prices are a Problem. If high oil prices can be a problem, how can low oil prices also be a problem? In particular, how can the steep drop in oil … Continue reading
Posted in Financial Implications
Tagged crude exports, debt default, employment, LNG exports, low oil price, oil exporters, shale oil
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