INTRODUCTION

Background of the Study

Crude Oil is a generally exchanged and significant product in the world. It is a

product of extraordinary significance and one of the most critical generation factors in

numerous economies. In the twentieth century simple accessibility of vitality has been a

key driver of development and industrialization. Main part of this vitality has been

produced from non-sustainable petroleum derivatives; today oil is the absolute most

requested product in the cutting edge world. Accordingly, unrefined petroleum has a

huge position in the public eye as an essential contribution to worldwide, national and

individual generation and utilization. Hence, it is a vital asset that draws in the intrigue

and the consideration of almost everybody on the planet.

Present day society is intensely dependent upon petroleum products more than

some other vitality assets, similar to flammable gas or atomic power or sustainable

power source or and so on. Oil has fueled the extraordinary monetary blast of the

previous century and keeps on driving the worldwide economy influencing each part of

day by day life, since we use it for power, transportation and in each and every key

advance. Substantial reliance on oil, be that as it may, causes much concern all the

more particularly as respects to its shortage, vitality security and the environmental

change effects of its utilization.

This study examining the fluctuation of crude oil prices is a common occurrence

in the Philippines. As the economy experienced a numbers of changes in the crude oil

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price at various times. Crude oil plays an important function in a country’s economic

growth. Nevertheless, not all nations have enough oil supply which obliges them to

purchase from the world market and be subjected to volatility in oil prices.

Statement of the Problem

The study focused on the Crude oil prices and Its Effects in the economy of the

Philippines. College Students of San Beda College of Alabang during the First semester

of Academic Year 2019 – 2020, it aims to answer the following questions:

(1) How do crude Oil prices affect the economy which may be negative or

positive?

(2) How does the use of crude oil affect the supply and demand of the

Economy?

(3) Effects of globalization on crude oil prices? What can be the solution?

Significance of the Study

For the Students:

The significance of the study on students is to have the knowledge on what they

should expect when it comes to our economy and what is really happening. The

importance of this is to have every student with great wisdom how to use our resources

properly and how we should help our economy to grow.

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 For the future researcher:

For the future researcher they should know that our economy and resources

should be given much attention and for them to have greater knowledge and

understanding on what ways they can help the economy to rise again.

Purpose of the Study

The purpose of this study is to give each student wider knowledge and
understanding on what kind of factors does the crude oil price affect our economy. This
study would also help future researchers because they will have an idea on this kind of
topic, if and only if they want to presume or expand this study with different concepts
and ideas on this topic.

Scope and Limitation

This study mainly deals with College Students aged 18-21 of San Beda College

Alabang as the main respondents. Also, this study will only be focusing on the Crude Oil

Prices and Its Effects in the Economy. The researchers will randomly select

respondents and will not be conducting surveys to them through Google Forms Survey.

This research is valid for First semester, academic year 2019-2020.

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 Conceptual Framework
Figure 1: Research Paradigm CAS
STUDENTS
NEGATIVE OR
CRUDE OIL
POSITIVE EFFECTS IN
PRICES
THE ECONOMY
CONDUCT
SURVEYS AND
QUESTIONNAIRES
TALLY
Find the Results

FOR THE COLLEGE STUDENTS TO BE

AWARE OF WHAT IS THE CONDITION OF

THE CRUDE OIL PRICES AND ITS

EFFECT IN THE ECONOMY BY MAKING

INFORGRAPHICS AND PROVIDING

Figure 1 illustrates the exhibits of the aim of how the research is supposed to

precede and what the researchers are to expect at the end of this research, this

conceptual framework will be discussing the input, output and process

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Review of Related Literature

According to Sicat, G. (2012, April 25). Crude oil prices: A historical perspective.

Crude oil prices have affected the Philippine economy adversely in the course of

decades since the 1970s. A full review of what drives crude oil prices is vital. Factors

that cause crude oil prices to fluctuate are mainly political in character. Of course, many

other developments – economic and otherwise in nature – could also initiate short run

fluctuations. ‘The world view of oil supply and demand.’ The world supply and demand

for crude might look like plain economics in motion. What lies behind these economic

outcomes is the struggle for control of resources by the big industrial and economic

powers. Oil prices through the decades for the Philippines.’ Throughout American

colonial days in the Philippines, crude oil prices were relatively stable although they also

fluctuated up and down. Crude prices reflected local American prices except for

transportation shipping charges from the United States across the Pacific.

Lately, China and the Philippines made a deal of joint efforts in gas and oil

exploration. Recently, local oil companies rolled back the price of gasoline and diesel by

₱0.10 per litre, but increased the price of kerosene by ₱0.10 per liter.

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METHODOLOGY

Research Design

This study was a case study since the aim of the study was to determine and

examine the effects and impact of Globalization on Crude oil prices. A case study is an

in-depth research rather than a sweeping statistical survey of a particular circumstance.

According to Kothari (1990), a case study is a powerful form of qualitative

analysis with the unit of study being an institution, family, district, community, or person.

Case studies provide more realistic responses than a purely statistical survey and are

flexible.

Research Locale

The research will be conducted in no particular area, the respondents needed for

the research are Students aged 18-21 of San Beda College of Alabang, Muntinlupa

City. Consequently, the survey is only applicable to those who are eligible in the

prescribed criteria.

Research Instruments and Techniques

The researchers relied heavily on primary sources of information. Primary data

were gathered and collected using survey guide questions. A survey guide questions

are set of a research instrument consisting of ten (10) questions to be asked using

Google Forms Survey the purpose of collecting answers from the respondents. The

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researchers send the Google Forms Survey link through Messenger to College

Students of San Beda College of Alabang.

Data Gathering Procedures

After the validation of the instruments and techniques, the researcher provided a

Google Forms Survey Question to the College of Arts and Sciences Students of San

Beda College Alabang and asks for permission if they can conduct the survey by

sending it through messenger. The researchers elaborated further the aim/purpose of

the study to the respondents and assured each respondent coincide with the criteria

provided. The researchers gathered data by using survey Google docx, the respondents

have answered the survey, they tallied, made clear and examined the answers.

Data Analysis Procedure

In this study, the data analysis begins with tabulating the data that has been

gathered from the respondents. The data was tabulated based on the questions that will

be used to answer the problems stated in the study. In this case, the data was tabulated

per question. After the data was tabulated, each data was given a percentage

equivalent, in order to determine how the totaled answer of each respondents equates

to the questionnaire.

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 RESULTS AND DISCUSSION

Figure 1

As seen in Figure 1, there are over 52.4% who answered YES who are holding a

full driving license while there are over 47.6% who answered NO who are doesn’t own a

full driving license. In summary, 52.4% students own a full driving license.

Figure 2

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 As seen in Figure 2, there are over 61.9% who answered PETROL and there are

38.1% who answered DIESEL. In summary, most of the respondents uses Petrol for

their vehicle.

Figure 3

As seen in Figure 3, there are no respondents who answered 200-300 pesos,

while there are 4.8% who answered 350-550 pesos, while there are 19% who answered

600-1,000 pesos, while the second highest is 33.3% who answered 1,500-2,000 pesos,

and lastly the highest answer from the respondents which has 42.9% who answered

2,500 pesos. In summary, 2,500 and above has the most answers from the

respondents.

Figure 4

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 As seen in Figure 4, there are 33.3% who answered 500-1,000 pesos, there are

42.9% who answered 1,000-1,200 pesos, there are 19% who answered 1,200-1,500

pesos, there are 42.9% who answered 1,500-2,000 pesos, and lastly the lowest

answers from the respondents is 2,500 pesos-above which has 4.8%.

Figure 5

As seen in Figure 5, there are 71.4% who answered YES and there are 28.6% who

answered NO. In summary, mostly of the respondents experienced inconvenience

relation to the oil price hike

Figure 6

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 As seen in Figure 6, there are 66.7% who answered YES and there are 33.3% who

answered NO. In summary, mostly of the respondents spend their money on crude oil

than before ever since the crude oil had price hike.

Figure 7

As seen in Figure 7, there are 71.4% who answered YES and there are 28.6% who

answered NO. In summary, mostly of the respondents’ budget has been affected by the

oil price hike.

Figure 8

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 As seen in Figure 1.8, there are 52.4% who answered YES and there are 47.6%

who answered NO. In summary, mostly of the respondents are forces to find or come

up with ways to have a cheaper crude oil.

Figure 9

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 As seen in Figure 9, there are 47.6% who answered YES and there are 52.4% who

answered NO. In summary, mostly of the respondents are not using public

transportation even though there is oil price hike since some of the respondents might

have a hard time.

Figure 10

As seen in Figure 10, there are 28.6% who answered Much too high, while there

are 66.7% who answered somewhat high and there is 4.8% who answered About right.

In summary, there are some respondents who agrees that the crude oil is somewhat

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 high since some of the respondents let their parents pay for their crude oil since they

are still students.

REFERENCES:

(2019, January 13). BusinessMirror Editorial. Retrieved from

https://businessmirror.com.ph/2019/01/14/phl-a-crude-oil-price-slave/

(1970, January 1). Crude Oil News. Retrieved from https://oilprice.com/Energy/Crude-Oil

Domingo, R. W. (n.d.). More inflation worries as crude oil prices seen to go up. Retrieved from

https://business.inquirer.net/257347/inflation-worries-crude-oil-prices-seen-go

Palmer, B. (2019, May 5). The Effect of Crude Inventories on the Oil Economy. Retrieved from

https://www.investopedia.com/articles/investing/113015/why-it-important-follow-crude-oil-

inventories.asp

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Paraskova, T. (2019, August 29). China, Philippines Team Up For Oil Exploration In South China

Sea. Retrieved from https://oilprice.com/Latest-Energy-News/World-News/China-Philippines-

Team-Up-For-Oil-Exploration-In-South-China-Sea.html#

Rivera, D. (2019, August 31). Oil prices to go down. Retrieved from

https://www.philstar.com/headlines/2019/09/01/1948076/oil-prices-go-down

Sicat, G. P. (n.d.). Crude oil prices: A historical perspective. Retrieved from

https://www.philstar.com/business/2012/04/25/800023/crude-oil-prices-historical-perspective

(2007, November 1). What are the possible causes and consequences of higher oil prices on the

overall economy? Retrieved from

https://www.frbsf.org/education/publications/doctor-econ/2007/november/oil-prices-impact-

economy/

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