how are countries other than the U.S. affected? are their economies going down? are their people becoming poorer? are they as upset about the high gas prices as america?
2006-11-05 16:38:54 · 5 answers · asked by gwen 1 in Social Science ➔ Economics
Read
The Role of Carbon Taxes in Adjusting to Global Warming
David Pearce
Economic Journal, Vol. 101, No. 407 (Jul., 1991), pp. 938-948
doi:10.2307/2233865
2006-11-05 16:44:18 · answer #1 · answered by Jamil Ahmad G 3 · 0⤊ 0⤋
When prices rise, people who consume the relevant good (eg the US, most of Europe, Asia, Australia etc) are worse off and people who have lots of the good (eg the middle eastern countries, Venezuala, etc) are better off.
Oil exporting countries are benefitting from high oil prices, since they are receiving more for their oil, so they can save more for the inevitable day when their oil runs out. Most individuals in oil importing countries are upset by high oil prices. However, this doesn't mean that their economies are 'going down'.
At teh end of the day, prices are just the rate at which you swap two goods or services.
A change in the price doesn't, by itself alter the amount of goods and services in the global economy, it just redistributes them. In the same way, if you could swap 1 hour of babysitting for for a ticket to a baseball game and then the price increased so that you had to do 2 hours of babysitting to receive the same tickets, makes you worse off and the person you babysit for better off.
From a global economy perspective, you need to consider why oil prices rose in the first place (see my answer to this at the link below). The reason why oil prices have risen is due to increased demand from developing countries. Therefore, it is the fact that people in these countries are experiencing higher standards of living that is driving oil prices up. This has to be a good thing. While it would have been nice if they could have enjoyed an improvement in their standard of living and oil prices not risen, this is impossible and it is selfish to think that only opeople in rich western countries should be entitled to use oil because if we were able to stop people in less develoepd countries using it, then it would be cheaper.
2006-11-05 18:21:58 · answer #2 · answered by eco101 3 · 0⤊ 0⤋
somewhat in case you're ignorant adequate to have faith in international warming severe costs are the worst element which could take place. First as maximum persons have faith international warmist and sane people alike is that there is a limiteless quantity of fossil gasoline left in this international. severe costs make the intake pass down yet no longer adequate to truly propose something different than the certainty that the supply will now final a number of greater years previous whilst it would in any different case have dried. To get to the ingredient a real international warmist must be encouraging using fossil fuels at an speeded up p.c.. with a view to hasten the tip of this gasoline.
2016-12-28 14:07:04 · answer #3 · answered by Anonymous · 0⤊ 0⤋
I believe it causes all round more poverty, from Australia. Yes I am upset about high "petrol" "gas" prices. Don't know about the economy - there is a lot of tax on it. I believe it would make it more difficult for those on lower incomes.
2006-11-05 16:48:17 · answer #4 · answered by Abbasangel 5 · 0⤊ 0⤋
Where have you been. Didn't you know the gas prices are down to $2.15 a gallon? The US economy is the best it has been in the last 20 years. Unemployment is 4.7, the lowest in history!! No-no-no and no..
2006-11-05 16:50:55 · answer #5 · answered by Anonymous · 0⤊ 0⤋