Article Analysis

750 Words3 Pages
Article Analysis ECO/365 Principles of Microeconomics There are many consumption patterns in today’s economy. One’s that can help determine what supply and demands are needed. The article “East Bay Oil Exports Have Become Huge Business,” by Glantz (2012), it talks about how the consumption patterns of oil affect business today. The commodities that develop consumption patterns affect the way people purchase goods and services as well as drive prices for theses goods and services up and down. It also depends on if the supply of oil and gasoline are available to determine if the prices are going to go up or down. Many people are not aware that there is a lot of oil that is available to the people. I will discuss how utilities derived, and how they can change according to the demand and supply of the oil. I will also provide information whether or not the demand for this product is elastic or inelastic. This article discusses how the utilities have derived and how the community has been using this product. If the demand and supply remain the same for oil that would mean that there could still be a price increase because the oil can become empty which would drive the demand up and the price because now this could cause a shortage. The opposite would happen if the supply was plentiful but the prices would be lower because the demand wouldn’t be as high. The consumption patterns of oil export have increased according to the article from the East Bay. This has changed the way that the economy has viewed the changes. The consumption levels that consumers are using are changing as well. There are more cars on the road so therefore the consumers have more oil that is needed or demanded and this can put a strain on the supply that is available. The results from a shortage are castrophic. If the US were to be in a supply shortage of a major commodity such

More about Article Analysis

Open Document