Close
Close

Michael Klare

Michael Klare is professor of peace and world security studies at Hampshire College. Rising Powers, Shrinking Planet: The New Geopolitics of Energy is out in September.

The Oil Crisis

Michael Klare, 14 August 2008

Unlike the oil ‘shocks’ of the 1970s, the current energy crisis is almost certain to be long-lasting. None of the quick fixes proposed by pundits and politicians – drilling in protected wilderness and maritime areas, curbs on commodity speculators, pressure on members of Opec to increase output – is likely to have much impact. In 1973-74 and again in 1979-80, events in the Middle East led to a sharp reduction in the flow of oil from the Persian Gulf, causing a contraction in global supplies and a rise in energy prices, and thus sparking a global recession. But when equilibrium of a sort was restored to the region, the oil began to flow again and the crisis passed. Now, however, the imbalance between supply and demand is largely due to factors inherent in oil commerce itself – and so is less easily solved.

Read anywhere with the London Review of Books app, available now from the App Store for Apple devices, Google Play for Android devices and Amazon for your Kindle Fire.

Read More

Sign up to our newsletter

For highlights from the latest issue, our archive and the blog, as well as news, events and exclusive promotions.

Newsletter Preferences