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Oiling the wheels of industry?

Read the article Crude oil's rollercoaster prices (you can do this in the window below or follow the previous link to read the article in a separate window) and then consider answers to the questions below.


Question 1

Identify the main factors that have contributed to the volatility in oil prices since 2008.

Question 2

Assess whether the rise in oil prices affects a firm's fixed or variable costs or both. Explain your answer fully.

Question 3

Discuss the impact that volatile oil prices are likely to have on firms.

Question 4

Evaluate the impact that rising oil prices are likely to have the national economy of the country where you live.