How will the falling oil prices affect our economy, going forward in 2020 and maybe beyond?
How will the falling oil prices affect our economy, going forward in 2020 and maybe beyond?
Homework Answers
In the face of the spread Coronavirus, the demand for oil has decreased significantly. Thus the supply of oil has decreased substantially. Now oil price has decreased to the $ 20 barrel which twenty-year low. If the world is not able to prevent the further spread of Coronavirus.
OPEC countries are planning to reduce the production of oil to prevent further falls in the oil price.
Low oil prices will reduce the cost of production incredibly. The low price of oil might incentive more investment and industrial activities in the future provided the oil price does not pick up. There must be competition in the oil market so that whole world benefits from such price decline.
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How will the falling oil prices affect our economy,
going forward in
2020 and maybe beyond?
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