Do Oil-Producing Countries Have Normal Oil Overconsumption? An Investigation of Economic Growth and Energy Subsidies

Seyed Reza Mirnezami; Seyed Reza Mirnezami

doi:10.3934/energy.2015.3.267

AIMS Energy

2015, Volume 3, Issue 3: 267-283. doi: 10.3934/energy.2015.3.267

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Do Oil-Producing Countries Have Normal Oil Overconsumption? An Investigation of Economic Growth and Energy Subsidies

Seyed Reza Mirnezami ^,

Polytechnique Montreal, C.P. 6079, City-Center Branch, Montreal (QC) Canada H3C 3A7

Received: 21 April 2015 Accepted: 09 July 2015 Published: 22 July 2015

The data shows that oil-producing countries have low oil retail prices and low economic growth compared with other countries. Considering that oil-producing countries experience high oil consumption and low economic growth, it is possible to argue that economic growth is not an appropriate justification for oil consumption and that the main cause for high oil consumption is the low retail price. In addition, it should be noted that the global environmental movement against increasing greenhouse gas emissions—for example, the Kyoto 1998 agreement—seems to have had no effect on oil consumption in oil-producing countries.
- oil consumption,
- oil supply,
- resource curse,
- energy subsidy,
- energy policy,
- economic growth
Citation: Seyed Reza Mirnezami. Do Oil-Producing Countries Have Normal Oil Overconsumption? An Investigation of Economic Growth and Energy Subsidies[J]. AIMS Energy, 2015, 3(3): 267-283. doi: 10.3934/energy.2015.3.267

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Abstract

The data shows that oil-producing countries have low oil retail prices and low economic growth compared with other countries. Considering that oil-producing countries experience high oil consumption and low economic growth, it is possible to argue that economic growth is not an appropriate justification for oil consumption and that the main cause for high oil consumption is the low retail price. In addition, it should be noted that the global environmental movement against increasing greenhouse gas emissions—for example, the Kyoto 1998 agreement—seems to have had no effect on oil consumption in oil-producing countries.

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