The shocks to oil prices created by the Arab oil embargo in 1973 and the revolution in Iran in 1979 had far reaching consequences that still affect investor thinking today. Analyzing the aftermath of the ensuing energy crisis and stagflation (high inflation with stagnant growth) leads to one key conclusion oil stock pickers need to be aware of: the demand for oil is not price inelastic.
Published in TZ Latest News 18 March, 2017 by The TZ Newswire Staff
What Oil Stock Investors Can Learn from the Energy Crises of the 1970s
Published in TZ Latest News 18 March, 2017 by The TZ Newswire Staff
What Oil Stock Investors Can Learn from the Energy Crises of the 1970s
The shocks to oil prices created by the Arab oil embargo in 1973 and the revolution in Iran in 1979 had far reaching consequences that still affect investor thinking today. Analyzing the aftermath of the ensuing energy crisis and stagflation (high inflation with stagnant growth) leads to one key conclusion oil stock pickers need to be aware of: the demand for oil is not price inelastic.