1990 oil price shock

The 1990 oil price shock occurred in response to the Iraqi invasion of Kuwait on August 2, 1990,[1] Saddam Hussein's second invasion of a fellow OPEC member. Lasting only nine months, the price spike was less extreme and of shorter duration than the previous oil crises of 1973–1974 and 1979–1980, but the spike still contributed to the recession of the early 1990s in the United States.[2] The average monthly price of oil rose from $17 per barrel in July to $36 per barrel in October.[3] As the U.S.-led coalition experienced military success against Iraqi forces, concerns about long-term supply shortages eased and prices began to fall.

  1. ^ Hamilton, J. (2009). "Causes and consequences of the oil shock of 2007–2008" (PDF). Brookings Institution. Archived from the original (PDF) on November 14, 2011. Retrieved January 20, 2016.
  2. ^ Roubini, N.; Setser, B. (2004). "The effects of the recent oil price shock on the U.S. and global economy" (PDF). New York University. Retrieved January 20, 2016.
  3. ^ Taylor, J. (1993). "Discretion versus policy rules in practice" (PDF). Carnegie–Rochester Conference. Retrieved January 20, 2016.