Inquiry 1: Tracking oil prices

Real world issue  The inquiry below enables us to gain an insight into the
following real-world issue:
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 How do consumers and producers make choices in trying
to meet their economic objectives?
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 The inquiry focuses on changes in the price of oil - a
crucial input into almost every industry.

Insight
 Use online sources to find the changes in the global price

of oil from 2000 to 2020.

 You might find that the price of oil fluctuates a great

deal in the short run. However, if you imagine a trend

line or a line of best fit running through the data, you
will be able to identify a rising or falling long run trend
in different periods of time.

New questions
 Identify the periods when there has been a change of
trend in oil prices.
 Choose a period to study.
 Your inquiry question could focus on the reasons behind
the changes in the prices of oil during that period.
 You could also weigh the relative importance of
different factors causing the change.
 Another possibility would be to study the impact of
changes in oil prices on different stakeholders.

Quest
 Using sources, try to find the information that you need

to address your chosen question.

 Try to use different kinds of sources - government

publications as well as those published by independent

agencies and international organisations.
Understand
 Try to understand and analyse this information in terms

of economic theory.
 Some of the economic concepts that you might want to

consider are:
o Non-price determinants of demand for oil
o Non-price determinants of supply of oil
o Price elasticity of demand for oil
o Price elasticity of supply of oil
o Oil as an input in different industries
 Draw diagrams to explain the above

Inference
 Consider the impact of different factors and alternative

points of view explaining the price changes or the

impact on different groups
 Make reasoned inferences and draw a balanced

conclusion
 What are the limitations of your inquiry?

Represent  Create a slideshow to present your findings.