Crude Oil Market Functioning and Sustainable Development Goals: Case of OPEC++-Participating Countries
Sustainability
; 14(8):4742, 2022.
Article
in English
| ProQuest Central | ID: covidwho-1810161
ABSTRACT
This article aims to substantiate the factors by which the oil industry influences the sustainable development of OPEC++-participating countries under conditions of uncertainty. The impact of the price parameters of the world oil market and the tools of its regulation on the sustainability of OPEC++-participating countries was assessed using panel regression analysis. The sustainable development level of OPEC++-participating countries was analyzed by the integrated estimation method, focusing on crude oil market functioning features. Undoubtedly, we can testify that there is a direct correlation between the country’s level of socio-economic development and sustainable development. In resource economies, a reduction in oil production and exports cannot have the same effect on sustainable development as in countries that do not produce oil, or are characterized by a higher level of economic development. With an appropriate level of economic diversification and the effectiveness of the institutional framework for managing the oil market, sustainable development can be achieved. Based on the model of the integrated assessment of the sustainable development of oil-exporting countries, the impact of statistically significant financial investors’ panic factor on the imbalance of oil prices due to the uncertainty of economic development was determined. Key indicators that create a panic factor in the oil market were identified. These include the indicators of the number of countries enforcing lockdown and the pandemic’s duration. We argue for the need to develop an effective strategy for achieving the sustainable development goals (SDGs) in OPEC++-participating countries, based on the management of crude oil supply and demand forces and by considering the effect of financial investors’ panic factor on the oil market.
Environmental Studies; OPEC++; oil market; COVID-19 pandemic; sustainable development goals; panic; financial investors; resource economy; oil prices; Oil and gas industry; Crude oil prices; Crude oil; Indicators; Regression analysis; Sustainability; Statistical analysis; Economic growth; Anxiety; Uncertainty; Economics; Exports; COVID-19; Oil and gas production; Economic development; Sustainable development; Industrial development; Petroleum; Alternative energy sources; Economic diversification; Supply and demand
Full text:
Available
Collection:
Databases of international organizations
Database:
ProQuest Central
Language:
English
Journal:
Sustainability
Year:
2022
Document Type:
Article
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