Option #2: The Oil Market
The oil market has been characterized historically by a degree of volatility. Respond to the following questions/topics:
- What are the factors driving the volatility in oil prices over the last few years? Very briefly discuss the price elasticity of demand for the good and what determines the elasticity.
- In light of your readings for this week, how would you anticipate the market to change over the next few years?
- Briefly discuss a substitute good and a complimentary good for oil.
- Create a supply-demand graph illustrating one of the shifts discussed in your paper, and explain the shift.
- Your paper should be at least 2 pages in length and must conform to the CSU-Global Guide to Writing and APA Requirements.
- Include a supply-demand graph.
- Incorporate at least three scholarly references that are not required readings for this module. The CSU-Global Library is a good place to find these references.