The Devil’s Tears from the Tournament of Shadows: Oil Supply, Markets and Unstable Producers
Oil is the driving force for the modern economy as a cheap energy source and its reliable supply of oil is therefore a crucial element of economic growth. Oil resources however, are unevenly distributed and concentrated into only a few, on average, emerging economies. Inefficient and ineffective resource management can jeopardize the secure flow of oil. Especially since these supplying countries are prone to geopolitical and commercial instability. The status of oil suppliers is derived from an endogenous web of relationships. However, most supply security studies focus mainly on the demand side, and the condition of oil suppliers is assumed to be exogenous. This paper attempts to quantify the security of oil supply from a supply side perspective through a composite indicator-based index. The subsequent composite index analysis combines the indicator results and shows that OPEC is the (relatively) riskiest producer group, followed by the Caspian and Non-OPEC countries. The implications from the analysis are that oil suppliers face not only different degrees of relative risks that vary from one petro-economy to another, but they also provide insights into ways and policies to reduce the relative risk levels of the selected oil suppliers.
|Date of creation:||May 2013|
|Contact details of provider:|| Postal: +61 7 3365 6570|
Phone: +61 7 3365 6570
Fax: +61 7 3365 7299
Web page: http://www.uq.edu.au/eemg
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Wabiri, Njeri & Amusa, Hammed, 2010. "Quantifying South Africa's crude oil import risk: A multi-criteria portfolio model," Economic Modelling, Elsevier, vol. 27(1), pages 445-453, January.
- Wirl, Franz, 2008. "Why do oil prices jump (or fall)?," Energy Policy, Elsevier, vol. 36(3), pages 1029-1043, March.
- Mohn, Klaus & Misund, Bård, 2009. "Investment and uncertainty in the international oil and gas industry," Energy Economics, Elsevier, vol. 31(2), pages 240-248, March.
- Wu, Gang & Wei, Yi-Ming & Fan, Ying & Liu, Lan-Cui, 2007. "An empirical analysis of the risk of crude oil imports in China using improved portfolio approach," Energy Policy, Elsevier, vol. 35(8), pages 4190-4199, August.
- Stirling, Andrew, 1994. "Diversity and ignorance in electricity supply investment : Addressing the solution rather than the problem," Energy Policy, Elsevier, vol. 22(3), pages 195-216, March.
- Mikesell, Raymond F, 1997. "Explaining the resource curse, with special reference to mineral-exporting countries," Resources Policy, Elsevier, vol. 23(4), pages 191-199, December.
- Narayan, Paresh Kumar & Narayan, Seema, 2007. "Modelling oil price volatility," Energy Policy, Elsevier, vol. 35(12), pages 6549-6553, December.
- Watkins, G.C., 2006. "Oil scarcity: What have the past three decades revealed?," Energy Policy, Elsevier, vol. 34(5), pages 508-514, March.
- Toft, Peter, 2011. "Intrastate conflict in oil producing states: A threat to global oil supply?," Energy Policy, Elsevier, vol. 39(11), pages 7265-7274.
- Sachs, Jeffrey D. & Warner, Andrew M., 2001. "The curse of natural resources," European Economic Review, Elsevier, vol. 45(4-6), pages 827-838, May.
- Toft, Peter & Duero, Arash, 2011. "Reliable in the long run? Petroleum policy and long-term oil supplier reliability," Energy Policy, Elsevier, vol. 39(10), pages 6583-6594, October.
- Vivoda, Vlado, 2010. "Evaluating energy security in the Asia-Pacific region: A novel methodological approach," Energy Policy, Elsevier, vol. 38(9), pages 5258-5263, September.
When requesting a correction, please mention this item's handle: RePEc:qld:uqeemg:5-2013. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (SOE IT)
If references are entirely missing, you can add them using this form.