Geologic estimates ofremainingglobalpetroleum resourcesplace about 50% in the Persian Gulf. Production costs are estimated at $5 per barrel there, and $15 per barrel in the North Sea andAlaska. Using mathematical methods derivedfrom depletion theory, the present...

Can the economic theory of depletion be reconciled with low petroleum? This paper uses a revision of the theory, which reflects demand functions that rise in response to increasing world population and income. The magnitude of producers’ and consumers’ surplus is estimated under both...

The sale of “green power” (electricity generated using renewable energy sources such as wind, solar or geothermal power) to non-residential customers at a premium is one of several market-based approaches for supporting renewables. Why would profit-maximizing firms or budget-conscious...

The oil of the Persian Gulf has been of considerable interest to oil companies and Western governments (and to Russia) for more than a century. Remaining global conventional crude oil resources are on the order of 3 trillion barrels, with more than 50% of that amount in the Persian Gulf. Since...

This paper reviews the evolution of the global oil market from the mid 20th century onwards. We analyze the unique “target price” framework brokered by the U.S. and Saudi Arabia in the mid 1980s. Over the 19 years of its life, this framework had been responsible for providing the world with...

Geologic estimates of remaining global petroleum resources place about 50% in the Persian Gulf. Production costs are estimated at $5 per barrel there, and $15 per barrel in the North Sea and Alaska. Using mathematical methods derived from depletion theory is utilized to explain the $15-$20 per...