The Impact of Crude Oil Prices on World Economy - Case study of Russia

Anastasia Frolova

Bachelor's thesis

Abstract:

The aim of the thesis is to analyze the current trends and dynamics in the oil markets with focus on Russian economy, the methodology used for running this research includes theoretical overview, PEST and SWOT analysis, case study, and deductive thinking.Oil is a strategically important resource for any state economic development and national security. The structure of the global oil market as of today greatly preconditions the structure of international cooperation on the global scale. Russia is one of the major oil manufacturers and exporters in the world, which only raises geopolitical weight of Russia on the international level. The recent negative dynamics in the global oil market contribute to impaired position of Russia as an oil exporter. Moreover, the recent trends in the global energy sector prove that the share of oil in global energy consumption tends to decrease. All this gives birth to preconditions in which the Russian Federation should focus on its energy production and export opportunities for diversifying the sources of budget incomes, or for findings new markets for greater sales of oil. In the long run, Russia should aim to balance its economy for avoiding the excessive dependence on the depreciating oil.

Keywords

oil market, energy sector, oil pricing, oil reserves, oil supplies, OPEC, PEST analysis, Russian Federation, SWOT analysis

Language used: English

Date on which the thesis was submitted / produced: 11. 3. 2016

Thesis defence

• Supervisor: doc. Ing. Mansoor Maitah, Ph.D. Ph.D.

Czech University of Life Sciences Prague

Faculty of Economics and Management

Bachelor programme / field:
Economics Policy and Administration / Business Administration