Depending on where you live in the United States, you probably pay more for fuel than you'd like. Even so, this is nothing compared to the event that unfolded in 1973 known as the OPEC embargo. Also known as the oil crisis of 1973, it followed the stock market crash of 1929 as one of the earliest financial disasters in world history. For those that would like to learn more about the embargo, here are a few details shared by Robert Jain.
Prior to the OPEC embargo of 1973, there was an increasing demand for oil, especially in the United States. Not only was this used to power automobiles, but various machinery, which meant that it was going to take work for said demand to be met. A few years later, in 1973, the Organization of Arab Petroleum Exporting Countries implemented an embargo, which applied to nations such as the United States, the United Kingdom, and Japan.
Once this oil embargo was put in place, production of oil ceased. As names like Bob Jain could tell you, this impacted life for everyone, financially or otherwise. Keep in mind that oil was used to power a number of establishments, which meant that schools, hospitals, and businesses in general couldn't use the power they needed. Due to the embargo in question, many of these businesses closed down and worldwide wellbeing suffered.
It's also worth noting that some cars became more popular than others due to this oil shortage. Back in the 70s, the Datsun became one of the most fuel-efficient vehicles around. Along with being an appealing model to those looking to purchase cars, it didn't use as much gas, which made it ideal for those that were on tight budgets. One could argue that didn't have as many bells and whistles compared to more high-end models, but those tended to be less economical, which was a downside during the time this embargo was in effect.
Now that you have a general understanding of the OPEC embargo, you may want to know how it changed America as we know it today. For starts, it pushed the country to focus on oil resources that were more local instead of relying on what they could receive overseas. Simply put, this meant less OPEC involvement. Even though the impact of the aforementioned embargo is still felt in different areas of the world, this doesn't change the fact that matters have improved since then.
Prior to the OPEC embargo of 1973, there was an increasing demand for oil, especially in the United States. Not only was this used to power automobiles, but various machinery, which meant that it was going to take work for said demand to be met. A few years later, in 1973, the Organization of Arab Petroleum Exporting Countries implemented an embargo, which applied to nations such as the United States, the United Kingdom, and Japan.
Once this oil embargo was put in place, production of oil ceased. As names like Bob Jain could tell you, this impacted life for everyone, financially or otherwise. Keep in mind that oil was used to power a number of establishments, which meant that schools, hospitals, and businesses in general couldn't use the power they needed. Due to the embargo in question, many of these businesses closed down and worldwide wellbeing suffered.
It's also worth noting that some cars became more popular than others due to this oil shortage. Back in the 70s, the Datsun became one of the most fuel-efficient vehicles around. Along with being an appealing model to those looking to purchase cars, it didn't use as much gas, which made it ideal for those that were on tight budgets. One could argue that didn't have as many bells and whistles compared to more high-end models, but those tended to be less economical, which was a downside during the time this embargo was in effect.
Now that you have a general understanding of the OPEC embargo, you may want to know how it changed America as we know it today. For starts, it pushed the country to focus on oil resources that were more local instead of relying on what they could receive overseas. Simply put, this meant less OPEC involvement. Even though the impact of the aforementioned embargo is still felt in different areas of the world, this doesn't change the fact that matters have improved since then.
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Contact Bobby Jain if you'd like to learn more regarding finance in general.. Free reprint available from: Robert Jain: The Details Of The OPEC Embargo.
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