U.S. Dependence on Foreign Oil
United States' Dependence on Foreign Oil: Causes, Effects, Solutions
From the plastic utensils we use to eat at picnics and company parties to the cars we drive for work and for pleasure to the heat that warms our homes in cold winter months, oil runs the United States of America. But while it may run the United States, it certainly is not cultivated in this country in great abundance. In fact, the United States uses about 25% of the world's oil, but contains only three percent of the world's oil reserves (Reducing U.S. Oil Dependence). Thus, the United States is dependant on other countries for one of its most valuable resources. Because many of these countries are in the Middle East, an area known for its wars and volatility, some have been significantly worried about the United State's dependence on foreign oil. The September 11th attacks have made this painfully clear. Having oil interests in Middle Eastern countries could be detrimental to the United States in that war and violence could suddenly make those resources unavailable. By discussing the cause of United States oil dependence, its effects, and possible solutions, a better understanding of this problem's scope can be had.
The problem of United States oil dependence is caused primarily by a lack of resources in the United States. This includes the three percent of oil reserves, in addition to oil in the Arctic National Wildlife Refuge, an area where many believe oil could be found. Although the debate about drilling in this area continues, many suggest that very few oil reserves are contained in this area, making drilling there pointless (Reducing U.S. Oil Dependence). The problem of a lack of resources is further exacerbated by Americans' overuse of oil. In fact, the United States' consumption of oil is slated to rise by 70% by 2020 (Feldstein). Although the green movement has begun to make this clear, a third and final issue causing U.S. oil dependence is a lack of education. For many years, oil use was something that few Americans knew or cared about. Children were not raised to turn out lights, use public transportation, and turn down the heat when they were not home. This has lead to over consumption, and, thus, dependence.
The effects of U.S. dependence of foreign oil, similarly, are three-fold. U.S. dependence on foreign oil has serious implications for oil use in the United States, foreign policy, and "economic vulnerability" (Feldstein). First, U.S. dependence has serious implications for oil use in that it increases the likelihood of an energy crisis. As previously noted, the Middle East is a volatile area, in which the United States has had its share of interventions. Not among the first of these is the gulf war and the current occupation with Iraq. Quite easily, Middle Eastern rulers could quickly reduce the amount of oil shipped to the United States, causing energy crisis. Because enough information regarding alternative solutions to energy has not yet been procured, an energy crisis would cause many problems in the United States, including complications with food production, transportation, and even the lifesaving technologies employed by hospitals.
In addition to energy crisis, an effect of U.S. dependence of foreign oil that many believe has already been exploited is the political affect. According to Feldstein, "the political leaders in the Middle East know that our dependence on their oil gives them leverage over our policies." Some believe that many of the United States' interventions in the Middle East have been in the name of oil. Many of these also believe that oil has been the cause of American deaths, domestic, and foreign policy concerning both oil and the Middle East. Further dependence on foreign oil, which is projected, can only further increase the effects of said dependence on United States politics, both foreign and domestic.
Finally, a third effect of the United States' dependence on foreign oil is economic volatility. Although gas prices have begun to go down, high prices during the summer of 2008, and in other years, have been a result of this dependence. Not only does the dependence on foreign oil affect gas prices, but oil is also used in the manufacturing industry, so the prices of many other goods and food also rise, throwing our economy into a recession like the one it is currently experiencing. This economic volatility is caused by the United States' having to pay for oil from the Middle East and their inability to control prices.
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