[Video] John Hofmeister, chief executive officer and founder at Citizens for Affordable Energy, and Kevin Book, managing director and co-founder at Clearview Energy partners, discuss the factors causing an over-supply of oil and the impact of falling prices on energy producers and the global economy.
Read more at: Bloomberg
The world’s oil prices have stayed high since 2010 — bouncing around $100 per barrel— for two basic reasons. Oil demand keeps rising, and production is struggling to keep up. But why is production struggling to keep up? One big factor has been geopolitical conflict. Wars, unrest, and sabotage have increasingly plagued oil producers like Iraq, Libya, and Syria since 2011. The US and EU sanctions on Iran’s oil industry have also removed a lot of oil from global markets.
