Our dependence upon oil, especially foreign oil, affects our economy and our national energy security.
Today, over half of the oil we use is imported (58%) and our dependence will increase as we use up domestic resources.
Most of the world’s oil reserves are concentrated in the Middle East, and about two-thirds are controlled by OPEC members.
Oil price shocks and price manipulation by OPEC have cost our economy dearly—about $7 trillion from 1979 to 2000 cost the U.S. economy—and each major price shock was followed by a recession. With growing U.S. imports and increasing world dependence on OPEC oil, future price shocks are possible and would be costly to the U.S. economy.
Ultimately, the solution to this problem lies in technological progress:
- Developing advanced vehicle technologies that use energy more efficiently
- Creating new energy sources that can replace petroleum cleanly and inexpensively
By taking an interest in fuel economy, you can help reduce U.S. petroleum dependence today and create incentives for carmakers to produce cleaner, more energy efficient vehicles in the future.