Do You Think You Know Where Oil Prices Are Heading?
Off-course we want to go renewables but for some time to come our lives will continue to be influenced by the price of Crude Oil. And if you are in economics you probably like to know where the price is going, and guess what....... No one really knows.
The picture in the header shows the price of Oil as a years out forecast, and the realized price.
On OILPRO there is a great discussion taking place you might to check out.
-- "If your answer to the question is yes, then welcome to a very small minority. Forecasting oil prices is important for the oil industry as it provides a road map for company managers to plan their business strategy. Future oil prices are, importantly, a signal to capital markets about the future profitability of companies and the opportunities for putting capital to work with attractive return potential. Given how important future oil prices are, how come forecasts are so poor?"
Enjoying life
8 年The answer might simpler than expected As demand plus projected growth versus the use of installed or required production is the normally a good indicator However my take is; It will take some time till these two will be balanced Too many stakeholders with skin in the game want maintain or gain a position