1973 oil crisis

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The 1973 oil crisis is a term used to describe a difficult position. It has resulted due to stoppage of shipment of petroleum oil to certain countries. It began on October 17 1973. At that time Yom Kippur War was in progress. This was a war between Israel on one side; and Syria and Egypt on the other side. The members of Organization of Arab Petroleum Exporting Countries (OAPEC and Egypt and Syria) announced that they would not ship petroleum oil to countries that were supporting Israel. The main countries who were supporting Israel were the United States of America, and some other countries of Western Europe.

At about the same time, Organization of the Petroleum Exporting Countries (OPEC) increased the price of petroleum oil to four times. This put many countries into problems. Some countries like the United States and Japan used more oil. These countries faced more problems. They faced shortage of oil, and they had to pay more for buying oil.

In between, many other problems arose. All these badly affected the economy of the world. The problems continued even after 10 years until early 1980s. The higher oil prices continued until 1986. Japan did well soon after the 1973 oil crisis. For example, Japanese companies started manufacturing automobiles, which used less oil to run. Soon many other automobile companies in different countries also started to manufacture automobiles, which used less oil to run. fared particularly well in the aftermath of the world energy crisis of the 1970s. Japanese automakers led the way in an ensuing revolution in car manufacturing. Thus, the 1973 oil crisis resulted into some good things also. Many countries of the world understood a point: they started to search for oil in the land and in the seas. At the same time, goods using less oil became important.

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