Question

How can oil rich countries help oil poor countries? Help please ASAP!!!!

Answer 1

Well the answer is simple if you look at it from an economic standpoint. Say the oil poor country is unable to develop energy sources that move away from having to use oil to get energy, the oil rich country comes in and sees a great trade opportunity. Basically here's how it works: - Oil Rich country offers trade - The two nations bargain for the price of the commodity being sold - Both parties reach an agreement - Oil Rich country starts exporting excess oil to oil poor country - Oil poor country pays oil rich country - Oil poor country uses purchased oil to provide power to citizens - Oil rich country has more money in its coffers for government projects As you can see, the oil poor country gets the benefit of having oil (which in this day is more valuable than gold sometimes), while the oil rich country gets more money to spend how it wants. Look at the United Arab Emirates, and more specifically the city of Dubai. They BUILT islands that look like palm trees, with multi million dollar homes on them. They just have that much money. Heck, the princes of the UAE and Saudi Arabia (two of the most oil rich countries in the world) are worth more than Bill Gates, Steve Jobs, the entire Apple, and Microsoft companies combined. Hope this helps you!


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