The Future of Airline Operators amidst the Oil Crisis Essay

The Future of Airline Operators amidst the Oil Crisis - Essay ExampleTheories abound the origin of oil, and like opposite forms of fossil fuel, is believed to have come from ancient animal and plant remains that was buried under soil and mud through a very extensive period of time and settled down into the Earths crusts. The buried ancient animal and plant matter piled upon the Earths crust and eventually compressed and heated by the Earths spacious internal pressure and temperature. The oil then seeped through the rock layers forming reservoirs, most of which are found in desserts, ocean bottoms, ice layers and many other out-of-door terrain formations (Wikipedia, 2006a). These oil reservoirs are being harvested right now by countries that were fortunate enough to have an oil reserve in their midsts, particularly in the center of attention East where the most abundant oil reserves are found. These countries now form the organisation known as OPEC (Oil Producing and Exporting Co untries) which controls most of the worlds oil tot and prices. While it seems like the supply of oil is unlimited it is not, the supply of oil is beginning to dwindle. ... d was way cheaper back in the period of the public Wars it was at these period that oil was still abundant and conflicts on the price and supply of oil were non-existent. The OPEC was not founded yet and inflation was not too much usual back then. Brandly (2004) the current oil crisis is predicted by Hubberts Peak (or Hubberts model or theory as some authors put it) which states and assumes that oil is non-renewable and that even though constituent(a) matter is currently added to the Earths crust and that the rate of decomposition and conversion of this organic matter into crude oil will not catch up with the worlds exact for oil. The peak in Hubberts Peak refers to the highest point of oil production at a certain area which will be soon followed by a fulminant drop leading to a crisis. According to those wh o believe in Hubberts theory, the world is now at its peak and is nearing another major oil crisis not because of policy-making conflict but mainly due to a real short in oil supply. In a National Geographic article indite by Appenzeller (2004), oil companies are now putting more human and financial resources in finding new oil sources. It only means that the existent crisis is happening not after the 1st drop of oil has been extracted but rather in the present when oil production is at its peak. The world is predicted to pop off out of oil in about 5 to 30 years from now. The oil shortage will not only affect transport and military unit generation, but also other factors as Amos (2004) reported, stating that oil process will affect birth rates, food prices and other commodities. This is especially true with Third World countries where the price of oil on the world market affects the basic commodities. Amos (200) points out that the economic depression will force people