� Microeconomic (Project 1) Jamal Nasser Ba-Dhafari
Report Title: - Demand and Supply of Oil
Student Name: - Jamal Nasser Ba-Dhafari
ID Number: - 970002058
Programme: - Engineering Management Bachelor of Applied Science
(International and UAE Economics EMGT 410)
College Teacher: - Mr. Nihad Hamid
Date: - 14/12/2002
Table of Contents Page
Introduction 3
Demand of Oil 3
Supply of Oil 5
Supply and Demand Equilibrium for Oil 6
Conclusions 6
References 7
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Introduction
Oil is one of the most valuable and scarce energy resources in the earth, and in order to assess the recent developments in the price of Oil in world trade, it is important to analyze the underlying forces of demand and supply. As energy is an important vehicle of production and growth, Oil is still its main source and has no competing substitute to replace it altogether in the foreseeable future. The UAE is one of the biggest suppliers of the Oil in the world, and as a member of OPEC� price and supply of Oil is controlled by the 10 members� of the OPEC and Non-OPEC countries.
Demand curve
Dutch Supply and demand curve
Figure 1Yr | Oil Price | Tq Oil Demand | Tq Oil Supplied | OPEC Supplied | OPEC Share |
00 | 24 | 76,000,000 | 76,900,000 | 25,400,000 | 33% |
1Q | 27 | 76,300,000 | 76,300,000 | 26,200,000 | 34% |
2Q | 29 | 75,300,000 | 75,400,000 | 26,700,000 | 35% |
3Q | 24.5 | 76,500,000 | 76,500,000 | 25,201,000 | 33% |
4Q | 25 | 77,600,000 | 76,900,000 | 24,201,000 | 31% |
01 | 21 | 76,400,000 | 76,300,000 | 23,201,000 | 30% |
Demand of Oil
Demand for Oil is a derive demand according to its many diverse uses. Oil can be used to satisfy the needs of Mankind�. Oil is used as the main source of energy and as the major input in all petrochemical industries, which could provide us with our needs. Demand for Oil within a certain band of process and within a certain time interval is...