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An Economic Analysis Of Aspects Of Petroleum And Military Security In The Persian Gulf

  • Chapman, Duane
  • Khanna, Neha

Geologic estimates of remaining global petroleum resources place about 50% in the Persian Gulf. Production costs are estimated at $5 per barrel there, and $15 per barrel in the North Sea and Alaska. Using mathematical methods derived from depletion theory is utilized to explain the $15-$20 per barrel price band that existed from 1986 to 1999. New economic forces have displaced this previously stable pattern; a new price range of $22-to $28 may be emerging. International trade in petroleum and conventional weapons are analyzed with econometric methods; the occurrence of nuclear weapons capability in the Persian Gulf region is explored.

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File URL: http://purl.umn.edu/7229
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Paper provided by Cornell University, Department of Applied Economics and Management in its series Working Papers with number 7229.

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Date of creation: 2000
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Handle: RePEc:ags:cudawp:7229
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  1. D. Chapman & N. Khanna, 2000. "World oil: the growing case for international policy," Contemporary Economic Policy, Western Economic Association International, vol. 18(1), pages 1-13, 01.
  2. Basu, Arnab K. & Chau, Nancy H. & Grote, Ulrike, 2000. "Guaranteed Manufactured Without Child Labor," Working Papers 179542, Cornell University, Department of Applied Economics and Management.
  3. M. A. Adelman, 1986. "The Competitive Floor to World Oil Prices," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4), pages 9-31.
  4. Chapman, Duane & Khanna, Neha, 1999. "World Oil: The Growing Case For International Policy," Working Papers 7232, Cornell University, Department of Applied Economics and Management.
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