Exchange Rate Effects on the petroleum industry

Topic Exchange Rate Effects on the petroleum industryAcademic Level : Bachelor
Paper details
Using shifts in supply and demand curves,
describe how a change in the exchange rate
affected your industry. Label the axes, and state
the geographic, product, and time dimensions of
the demand and supply curves you are drawing.
Explain what happened to industry price and
quantity by making specific references to the
demand and supply curves. How can you profit
from future shifts in the exchange rate? How do
you predict future changes in the exchange rate?
NOTE: Imagine that you work for a domestic oil refinery, and answer each point of the question thoroughly. You DO NOT
work for an oil producer, but RATHER for a refinery, which turns crude oil into many different petroleum products, from jet
fuel to gasoline, which are then sold to world markets. You have the option of purchasing crude oil from U.S. sources or from
various foreign countries. You must purchase crude oil in order to make products that you can sell in the United States or in
other countries.
* Make sure to include visuals (graphing, tables) exciting and interesting quotes (from both inside and outside your text)