Contents
Introduction on increasing price of petrol- Microeconomic issue of Fuel pricing
- Alternative view of Petrol prices increase
- Normative view of rising fuel prices
- Positive view for increased fuel prices
Description
This article discuses a microeconomic issue. It talks about the increase in the price of petrol and talks particularly of oil industries. The increase of price of petrol is because it has a very high demand but the supply is limited. The OPEC (oil producing and exporting countries) have formed a cartel leading to a Monopoly in the production of petrol and due to the increase in the price of petrol and demand of its substitute L.P.G. is increasing.
