Anglais Des Affaires_Oil Shocks

7/29/2019 Anglais Des Affaires_Oil Shocks

1/35

Anglais des affaPascale DR


2/35

Oil Sh


3/35

S

Words and grammar youll need to knowKey Ideas

The 1973 Oil ShockThe 1979 Oil Crunch

Ups and Downs


4/35

WORDS YOULL NEED

Prices remained steadyLes prix sont rests stables

The first oil shockoccurred in 1973

Le premier choc ptrolier a eu lieu en 1973


5/35

WORDS YOULL NEED

It set quotas to regulate output and balancesupply and demand

Il a tabli des quotas pour rguler la productiquilibrer loffre et la demande

Americans led an energy squandering lifesty

Les amricains menaient un train de vie energ


6/35

OPEC became aware ofits cloutLOPEP a pris conscience de son poids (pouvo

Exploration of new fields came to a standstil

Lexploration de nouveaux champs sarrta

WORDS YOULL NEED


7/35

WORDS YOULL NEED

The hike in oil prices triggered inflationLaugmentation du prix du ptrole a dclench

linflation

Third world countries were the hardest hitLes pays du tiers monde furent les plus durem

touchs


8/35

WORDS YOULL NEED

A depleting resourceUne ressource qui spuise

In the U.S belt-tightening measures were

implementedAux Etats- Unis une politique daustrit fut m

place


9/35

WORDS YOULL NEED

The oil glut was provoked by Saudi ArabiaLa surabondance de ptrole a t provoque

lArabie Saoudite


10/35

WORDS YOULL NEED

Cut (cut/cut) - verb Price increase - noun

go down- verb Surge - noundrop- verb and noun Skyrocket - verb

plummet-verb hike-- verb and noun

soar-verb

Curtail - verb

Flare up verb

Fall- fell/fallen- verb and noun Rise- rose/risen verb and noun


11/35

WORDS YOULL NEED

The price fell sharplyLe prix a chut brutalement

It declined steadilyIl a baiss rgulirement

a boom une expansion

a boon une aubaine


12/35

A BIT OF

5 million barrels

millions of barrels

The glut may not have been a longstanding b

MAY + HAVE + verbe au participe passEn utilisant cette structure je porte un jugementmaintenant, aprs coup sur quelque chose qui se

dans le pass.


13/35

A BIT OF

Up until 1986 demand for OPEC oil kept on faJusqu 1986 la demande pour le ptrole en

provenance de LOPEP na cess de chuter.


14/35

A BIT OF

The price of oil soared to 12 $Pour exprimer le prix atteint on utilise to

Le prix du ptrole a atteint 12 $

The price of oil soared by 12%Pour exprimer le montant de laugmentation on u

by


15/35

Before 1973 the price of crude oil remained st

The cartel made prices go down

OPEC (Organization of oil exporting countriesfounded to counter the price drops

Key dates: 1973, 1979, 1990, 2005, 2007OPEC was founded to respond to the price dr

provoked by the cartel.


16/35

The aim of OPEC was to pursue stability for thbenefit of both oil producers and consumers.

To maintain stability, it set quotas to maintainbalance between supply and demand.

In the early 70s the power to set prices shifted

the cartel to OPEPOil shocks found ground in economic or geo

political conflicts


17/35

THE 1973

Reasons

American lifestyle in 1973Major reason : Israel refused to withdraw (se retirer) fro

Egypts Sinai Peninsula. Israel refused to do so.

Consequently, on October 1973 King Faisal of Arabiaretaliated

(prendre des mesures de reprsailles) by imposing an on

shipments of oil to the countries that had supported

The U.S.A, the Netherlands, Portugal and South Afric


18/35

THE 1973

Gas guzzling cars voiture gourmande en carbur

Americans led an energy squandering lifestyle dr

gas guzzling cars.

The price of oil soared to 12 $.

Pour exprimer le prix atteint on utilise to

Le prix du ptrole a atteint 12 $.


19/35

THE 1973

Key fact

The 1973 oil shock found ground in a geopolitica

conflict.


20/35

THE 1973

Price increase

Arab nations cut production by 5 million barrel a

As a result the shortage led to a 400% increase inprice of crude oil

OPEC had the power to control prices


21/35

THE 1973

Price increase

American energy policy

in the short run , America imposed price controls o

domestically produced oil

in the long run , U.S exploration of oil fields came t

standstill. The U.S did not manufacture energy savinAnd did not insulate their homes.


22/35

THE 1973

Key facts

U.S remained reliant on oil.

OPEC became aware of its clout (poids, pouvoir

) tocontrol prices

Since the U.S held down prices on domestic oil, it did

the pangs (affres) of high prices and did not take enouto save energy. The U.S was not prepared for

oil shock.


23/35

THE 1973

Key facts

The consequence of the oil shock was recession i

OECD countries.


24/35

THE 1973

Impact of surging oil prices on the economy

inflation

trade deficitsin OECD countries GDP (gross domestic product)

down from

6% in 1973 to0.6% in 1974


25/35

THE 1973

Impact of surging oil prices on the economy

petrodollars were re-invested

a few measures were taken


26/35

THE 1979 O

Reasons and consequences

in the early eighties when Iran was taken over by

Ayatollah Khomeini , oil output in Iran was curtaile

the situation was worsened by the Iran-Iraq confl


27/35

THE 1979 O


consequently the price of crude oil doubled reach

in 1981

1971 - 12$

1978 - 24$

1981 - 35$


28/35

THE 1979 O


widespread panic resulted

inflation

running trade deficits

unemployment in oil related industries

petrodollars were re-invested in weapons


29/35

THE 1979 O


then the price started to drop

new producing countries did not comply with (respOPEC quotas

demand for OPEC oil declined to the benefit of new

producing countriesSaudi Arabia refused to cut its output


30/35

THE 1979 O

Measures

U.S. oil output rose and imports from OPEC plum

from 6.6million barrels per day in 1977 to 4.2 in 19

by 1986 the barrel had dropped from 35$ to 10$


31/35

THE 1979 O

Key facts

The 1979 oil crunch found ground in another

geopolitical conflict.

OPECs clout was undermined (sap) because of t

emergence of new oil producing countries.

OPEC was powerless in front of the decline


32/35

THE 1979 O

Key facts

The U.S cut consumption by 34%

The U.S became aware that it needed to find alter

America started to break free from imports


33/35

UPS AN

The oil glut (surabondance) in the eighties

cause: Saudi Arabia decided to bypass the quotas

its market share back from new oil producing cou

consequence: Once again better faring economie

slowed down their investment in alternative energ

throughout the nineties the price wavered from 2

20$.


34/35

UPS AN

Key facts

Lower prices were a boon for economies but it slo

drilling in new oil fields, energy conservation and

substitutions.


35/35

Documents

Anglais Des Affaires_Oil Shocks