discussion reply paraphrasing 1 – Assignment Hub

I really appreciate your discussion because the way of explanation and presentation is very good along with this the information which you have provided in the above content about frequent fluctuations of fuel prices is clearly understandable to everyone. I completely agree with your discussion but I would like to provide some information in my point of view about some of the impacts that are occurring in various fields due to fuel price changes. When petrol or other fuel prices are increasing in society then it causes serious impacts on some business organization. Due to this sudden increase in petrol cost the demands of cars, bikes and other electronic vehicles will be lost their demand in public due to the unbarring capacity of money. When these issues occur in the business market it also causes some effects on government investment due to the decreases of transportations and increases in fuel prices. The fuel consumption of each vehicle is different from each other it will be changing based on the distance and the capacity of the engine. Hence some vehicles require less amount of fuels for transportations whereas others require a high range of fuel content (Kristjanpoller, 2016).
Kristjanpoller, W. D., & Concha, D. (2016). Impact of fuel price fluctuations on airline stock returns. Applied energy, 178, 496-504.
Reply 2:
Several factors directly affect the prices of oil in the global market today (Rietveld & van Woudenberg, 2017).Despite the efforts by the oil-producing countries to come up with economic pacts and blocks so that they can control their supply and to have stable prices, severe and sharp fluctuations have been experienced. The factors that make the prices of oil to fluctuate include; the demand for oil, politics, and stability, industrialization, among many others. When the demand for oil is high, it means that more fuel needs to be produced and supplied so that the demand in the market can be adequately met. Secondly, if the industrialization rate is high, it means that more industries are being established, which will consequently make the prices of oil to shoot too. Thirdly is that when the oil producing countries are facing political instability, the production of oil is affected, and so the prices be affected.
Rietveld, P., & van Woudenberg, S. (2017). Why fuel prices differ. Energy Economics, 27(1), 79-92. doi: 10.1016/j.eneco.2004.10.002
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