Does oil price shocks impact on energy consumption?

The shocks in the oil price have a great effect on energy consumed through the demand side. This penetrates through the increase in the price of petroleum products as a result of changes in the oil price. 

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8 minutes ago, Longe Adedayo Emmanuel said:

The shocks in the oil price have a great effect on energy consumed through the demand side. This penetrates through the increase in the price of petroleum products as a result of changes in the oil price. 

There is a lag effect.  What we do not see are the production decline curves on the major old basins.  Therefore, much of the velocity of the price of oil is noise.  It is very tricky.

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1 hour ago, Longe Adedayo Emmanuel said:

Please explain what you mean by tricky. 

I suggest that the effect depends on the country status. 

We are at the mercy of what the countries want us to know.  They have latitude on what they report.  They manipulate the numbers all the time, just like the majors.  I know something about this business, since in my past, my family was deep in the oil business.

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