Does the price of oil increase affect the oil rich countries?

Question

Does the price of oil increase affect the oil rich countries?

Answer 1

yes.  when it is up they gain in wealth, when it is down they must either sell more oil or live with less income.

Important to note that oil is especially high in US dollars right now.  other currencies have not dropped in value as much as the dollar relative to commodities, so oil itself isn't necessarily bringing in quite as much when sold to countries on other currencies.

Answer 2

The value of crude oil against other commodities increases or decreases the wealth of oil producing countries. The value of Oil must be traded for items not available in oil producing nations.

If trading should cease.  Value of oil would plummet.  The industrial wealth of trading countries has greatly enhanced the wealth of oil producers.  This is not a permanent condition.

Answer 3

Oil is used in practically every facet of American life.  Fuel for transportation is one thing, but oil is also used in the manufacturing of all plastics, electronic components, food pesticides, plant fertilizer, clothing, sneakers, pen ink, soap, make-up, all synthetic fibers, prescription and over-the-counter drugs, electricity, concrete and construction.  It's also used in the construction of everything "GREEN", including windmill and solar farms.  Did you know that the food you eat in United States travels an average of 1,500 miles before it gets to your plate?

The world consumes 80 million barrels/day.  The United States consumes about 8 million barrels/day.  At the current price of $137/barrel the United States spends $1.1 billion every day on the importing of foreign oil, or over $365 billion a year (at current prices, which don't look like they're coming down, but actually going up).  I can think of a few other places in this country that I'd rather see that money spent instead of in the hands of foreigners.