The Energy Programs of American Parties (Republicans and Democrats) and the Global Oil Market

Document Type: Original Article

Authors

1 Assistant Professor, Energy Economics and Management Department, Petroleum Faculty of Tehran , Petroleum University of Technology, Tehran, Iran

2 Assistant Professor, Shahed University, Tehran, Iran

10.22050/pbr.2019.119151

Abstract

The United States is the world's first producer and consumer of oil and play a special role in international oil market relations. In a sense, due to the differences in the energy programs of the parties of this country, we will see significant changes in the international energy markets. The Trump's economic thinking in business field is based on the neo-mercantilist while the Democrats believe in global and multilateral trade. The most important energy policies of the Republican Party are the development and expansion of fossil fuel production, increasing the share of the oil market, lifting environmental restrictions, confronting OPEC, and unilateralism in the oil and gas trade. In contrast, the Democrats' most important plans in the US election are to return to the Paris Agreement and re-impose environmental restrictions, reduce oil production through legal sanctions such as taxes, expand renewable energy and use financial resources to manage the oil market and trade convergence. The main question of this article is what effect do US parties energy programs have on the oil market? The method of this research is a qualitative in a descriptive-analytical manner using desk research.

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