Critical Survey on Fuel Price Changes and Its Effect on Nigeria Economy
Critical Survey on Fuel Price Changes and Its Effect on Nigeria Economy
CHAPTER ONE
INTRODUCTION
1.1 Background of the study
Crude oil is one of the world's most basic energy sources, and it plays a critical role in the growth and development of many economies. Because of the demand for this commodity, the oil market is susceptible to market forces of supply and demand, which generate price fluctuations.
Changes in the price of oil, according to Blanchard and Gali (2007), are an important cause of economic volatility, with the resulting effect causing a worldwide shock that can disrupt numerous economic activity at once. This shock is thought to have a comparable effect as events like as a drop in growth rate, high unemployment rate, and high inflation rate, even if the size and sources of these shocks may differ. A rise in oil prices will...