Oil Questions

Question 1

Apart from price, identify two factors which might affect the demand for oil (4)

Question 2

Using a demand and supply diagram explain why oil reached a price of $78.40 a barrel (6)

Question 3

Is demand for oil price elastic or inelastic, explain your answer (6)

Question 4

Explain what might happen to the revenue of an oil producer with increased demand and increased price (4)

Question 5

To what extent is the supply of oil elastic (12)