1973
During October of 1973 the Organization of Arab Petroleum Exporting countries, otherwise known as the OAPEC established an oil embargo with the US. This changed oil prices tremendously since by the time the embargo had ended the price of a barrel skyrocketed from just three dollars to almost twelve. In response to this the government made the problem even worse as they attempted to use price controls that resulted in the making of artificial scarcity.
1979
The second oil crisis occurred because of the Iranian Revolution as oil output was on a sharp decline. The price of oil per a barrel had increased by close to forty dollars over twelve months. And the 1973 oil crisis seemed to be happening yet again as lines at gas stations were running for a mile. The rise in oil prices fueled the overall possibility of a recession with all the other inflation that was occurring eventually leading to the recession in the 80's. The article "1979 Oil Shock Meant Recession for the U.S., Depression for Autos" written by Ariena Sawyers and her take on how this energy crisis affected car industries at the time. She goes into detail about how
During October of 1973 the Organization of Arab Petroleum Exporting countries, otherwise known as the OAPEC established an oil embargo with the US. This changed oil prices tremendously since by the time the embargo had ended the price of a barrel skyrocketed from just three dollars to almost twelve. In response to this the government made the problem even worse as they attempted to use price controls that resulted in the making of artificial scarcity.
1979
The second oil crisis occurred because of the Iranian Revolution as oil output was on a sharp decline. The price of oil per a barrel had increased by close to forty dollars over twelve months. And the 1973 oil crisis seemed to be happening yet again as lines at gas stations were running for a mile. The rise in oil prices fueled the overall possibility of a recession with all the other inflation that was occurring eventually leading to the recession in the 80's. The article "1979 Oil Shock Meant Recession for the U.S., Depression for Autos" written by Ariena Sawyers and her take on how this energy crisis affected car industries at the time. She goes into detail about how