Fossil%20Fuels

1
Fossil Fuels

• Geopolitical Implications

2
Petroleum Supply and the Global Economy

• Petroleum
• Fuel
• Lubrication
• Plastics
• Cost of importing balance of trade
• Cost of transporting other goods
• Currently, the U.S. imports over 40 of its
  petroleum

3
Fossil Fuels Distribution

• As we saw with minerals, no nation is
  self-sufficient in fossil fuels
• Nations must trade, form alliances or go to war
  for the resources they need
• These factors are the basis for the political
  position of the Middle East

4
Geopolitics of Petroleum
5
Geopolitics of Petroleum

• Desert warfare in World War II
• OPEC and the Oil Embargo of the 1970s
• Iraqs invasion of Kuwait
• Persian Gulf War
• Iraq War

6
Other Economic Aspects

• Environmental Costs
• Political Costs
• Reduced flexibility in foreign policy
• Economic hostages?
• Multinational Corporations and issues of
  sovereignty?