Alina Hashem

To what extent does Covid-19 affect inflation of the price of petroleum products?

Started Mar. 7, 2024

Abstract or project description

This paper aims to dive deeper into the causes for the petroleum product price spikes and drops before and after the covid-19 pandemic by examining OPEC policies and the long term impact OPEC decisions have on the petroleum economy. Due to the COVID-19 lockdown millions of people were restricted in their homes and lacked the need for gasoline. Nautually, this led to a decrease in demand for the product, therefore, leading to an oversupply of petroleum. With the decrease in demand, oil exporters were subject to decreasing their supply of petroleum. Once the lockdown was lifted, the demand for petroleum suddenly increased, though oil exports were not able to keep up. The demand for gasoline quickly rose, though the supply was limited. This eventually led to the spike in price of petroleum products worldwide.