Literature Review
It is found that oil prices have undergone critical decline over past couple of years for several reasons at the bottom of this decline. However, reducing demand triggered by increased production of oil in USA, over production by OPEC, and shift towards renewable sources of energy is considered the most fundamental reason behind current downtrend of oil prices. It conforms to the simple theory of demand and supply according to which demand and price are in positive, while price and supply are in negative relationship with each other (Stafford, 2015; Scott, 2015; Goldenberg, 2016; Arnold, 2008; Hensher, Rose, & Greene, ...
