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This study explores how economic modelling can illuminate the characteristics and trends shaping global oil prices. By examining the intricate intersection of politics and economics in the oil market, crucial insights can be gained into the volatility and nature of oil pricing mechanisms. The research delves into the interplay of factors such as supply, demand, geopolitical tensions, and market speculation to provide a comprehensive understanding of oil price fluctuations. Through a deep analysis of economic models, this research aims to shed light on the complex dynamics influencing oil prices and offer valuable perspectives for policymakers, industry stakeholders, and investors navigating the ever-evolving global energy landscape.
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