Has The World Started To Kick Its Oil Addiction?

Read more on this subject: Energy
News Story Source: zerohedge.com by Tsvetana Paraskova
But recently, many countries around the world have started to show more sensitivity to oil prices – oil demand grows as their economies grow, but oil demand is also more susceptible to oil price swings, with the oil price-consumption correlation behaving more like an everyday product, according to data by Washington-based ClearView Energy Partners and research by Bloomberg Gadfly columnist Liam Denning.

Although it's at least a decade or more too early to call the end of the world's oil addiction, the research and data suggest that in a growing number of large oil-consuming economies oil demand now correlates negatively with oil prices. In other words, consumption drops when prices rise and vice versa – a common economic concept applicable to almost every other product on the market.

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