the year 2008 revealed one of the risks of continued reliance on oil when
Financial crisis of 2007–2008 Rapid increases in a number of commodity prices followed the collapse in the housing bubble. The price of oil nearly tripled from $50 to $147 from early 2007 to 2008, before plunging as the financial crisis began to take hold in late 2008.[162] Experts debate the causes, with some attributing it to speculative flow of money from housing and other investments into commodities, some to monetary policy,[163] and some to the increasing feeling of raw materials scarcity in a fast-growing world, leading to long positions taken on those markets, such as Chinese increasing presence in Africa. An increase in oil prices tends to divert a larger share of consumer spending into gasoline, which creates downward pressure on economic growth in oil importing countries, as wealth flows to oil-producing states.[164] A pattern of spiking instability in the price of oil over the decade leading up to the price high of 2008 has been recently identified.[165] The destabilizing effects of this price variance has been proposed as a contributory factor in the financial crisis.
Sub-Saharan Africa By 2015, it is estimated that 25% of North American oil will be from Sub-Saharan Africa, ahead of the Middle East. Sub-Saharan Africa has been the focus of an intense race for oil by the West, China, India, and other emerging economies, even though it holds only 10% of proven oil reserves, less than the Middle East. This race has been referred to as the second Scramble for Africa. All reasons for this global scramble come from the reserves' economic benefits. Transportation cost is low and no pipelines have to be laid as in Central Asia. Almost all reserves are offshore, so political turmoil within the host country will not directly interfere with operations. Sub-Saharan oil is viscous, with a very low sulfur content. This quickens the refining process and effectively reduces costs. New sources of oil are being located in Sub-Saharan Africa more frequently than anywhere else. Of all new sources of oil, â…“ are in Sub-Saharan Africa.[138]