Energy crisis in the context of "1979 energy crisis"

In economics, inflation is an increase in the average price of goods and services in terms of money. This increase is measured using a price index, typically a consumer price index (CPI). When the general price level rises, each unit of currency buys fewer goods and services; consequently, inflation corresponds to a reduction in the purchasing power of money. The opposite of CPI inflation is deflation, a decrease in the general price level of goods and services. The common measure of inflation is the inflation rate, the annualized percentage change in a general price index.

Changes in inflation are widely attributed to fluctuations in real demand for goods and services (also known as demand shocks, including changes in fiscal or monetary policy), changes in available supplies such as during energy crises (also known as supply shocks), or changes in inflation expectations, which may be self-fulfilling. Moderate inflation affects economies in both positive and negative ways. The negative effects would include an increase in the opportunity cost of holding money; uncertainty over future inflation, which may discourage investment and savings; and, if inflation were rapid enough, shortages of goods as consumers begin hoarding out of concern that prices will increase in the future. Positive effects include reducing unemployment due to nominal wage rigidity, allowing the central bank greater freedom in carrying out monetary policy, encouraging loans and investment instead of money hoarding, and avoiding the inefficiencies associated with deflation.

An electric boat is a powered watercraft driven by electric motors, which are powered by either on-board battery packs, solar panels or generators.

While a significant majority of water vessels are powered by diesel engines, with sail power and gasoline engines also popular, boats powered by electricity have been used for over 120 years. Electric boats were very popular from the 1880s until the 1920s, when the internal combustion engine became dominant. Since the energy crises of the 1970s, interest in electric boats has been increasing steadily, especially as more efficient solar cells have become available, for the first time making possible motorboats with a theoretically infinite cruise range like sailboats. The first practical solar boat was probably constructed in 1975 in England. The first electric sailboat to complete a round-the-world tour (including a transit of the Panama Canal) using only green technologies is EcoSailingProject.

While the local use of oil goes back many centuries, the modern petroleum industry along with its outputs and modern applications are of a recent origin. Petroleum's status as a key component of politics, society, and technology has its roots in the coal and kerosene industry of the late nineteenth century. One of the earliest instances of this is the refining of paraffin from crude oil. Abraham Gesner developed a process to refine a liquid fuel (which he would later call kerosene) from coal, bitumen and oil shale; it burned more cleanly and was cheaper than whale oil. James Young in 1847 noticed a natural petroleum seepage when he distilled a light thin oil suitable for use as lamp oil, at the same time obtaining a thicker oil suitable for lubricating machinery. The world's first refineries and modern oil wells were established in the mid-nineteenth century. While petroleum industries developed in several countries during the nineteenth century, the two giants were the United States and the Russian Empire, specifically that part of it that today forms the territory of independent Azerbaijan. Together, these two countries produced 97% of the world's oil over the course of the nineteenth century.

The use of the internal combustion engine for automobiles and trucks in the turn of the twentieth century was a critical factor in the explosive growth of the industry in the United States, Europe, Middle East and later the rest of the world. When diesel fuel replaced steam engines in warships, control of oil supplies became a factor in military strategy—and played a key role in World War II. After the dominance of coal waned in the mid-1950s, oil received significant media coverage and its importance on modern economies increased greatly, being a major factor in several energy crises.