Foreign Developments: OPEC and the Oil Crisis Flashcards
Name 3 OPEC countries
Iran Kuwait UAE
What war occurred in 1973?
Arab-Israeli war
How did OPEC respond to Western countries that supported Israel? (2 things)
Quadrupled oil price and reduced exports to them by 25%
2 ways oil used heavily in all parts of the world?
Oil used for Cars and Oil is for forming plastics
How did the oil crisis impact the post-war generation?
This was their first time not having affluence
How was the oil crisis significant in the changing of world positions?
The Middle East now had power over the West
How much did OPEC make from oil in the last 2 months of 1973?
$40,000,000
How much did the price of a barrel of oil go up by from 1973-80?
1650%
How much did a barrel of oil cost in 1973 vs 1980?
$2 in 1973 $35 in 1980
What era was now over due to the oil crisis?
The era of cheap energy
What strike in 1974 made dealing with the oil crisis worse?
The Miners Strike of 1973/4
How much did the BoP deficit go up to due to the crisis?
£1 billion
How much did the price of meat and eggs go up?
Meat went up 22% Eggs went by slightly below 30%
What type of inflation occurred in the crisis?
Stagflation
How can stagflation due to the crisis be related to the little output drop for industries in the miners strike?
Because by this point stagflation would have occurred for a while
