Why the article was selected
The article was chosen because it seeks to address some major concepts of the macroeconomics theory of demand and supply of goods related to oil market. The article also explains the economic role of the government that is associated with the market. It is aimed at addressing how the power of demand and supply of tight oil can affect the dominance of a country among its competitor.
Articles main points
The article addresses the issue of the booming of tight oil, it claims that the availability of the tight oil in the US will affect it is several ways. One of the major ways is by making the US to reduce of the amount of oil importation, “And in fact, tight oil has helped to lower the amount the United States needs to import to meet its demand from around 60 percent of its total oil consumption in 2005 to a bit less than 30 percent now”(Lane, pg.9).
The article also addresses the issue of oil as a morality play, the article explains that by increasing the production of oil in a nation, the nation is able to benefit financially. From these benefits, a nation can reduce its level of dependency thereby making it a superpower nation.
Point of view of the article
The article is very beneficial to macroeconomic students; this is because it addresses the major topic in the syllabus. One is able to know the impact of changes in the demand and supply of the oil in the market. It addresses the low oil prices and its related consequences to other countries in the world. It also addresses the economic benefits of the oil to a nation. This makes the article appropriate for macroeconomics studies.
Work cited
Lane, Lee. Oil and World Power. The New Atlantis, 2015.
