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By Cyrus Bina (auth.)

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Additional info for A Prelude to the Foundation of Political Economy: Oil, War, and Global Polity

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Instead, they emphasize changed perceptions. Others in this category, while acknowledging some objective changes, do not penetrate below the surface of appearance far enough and therefore end up describing the phenomenal form of the crisis. The dependency theory of the oil crisis emphasizes the notion of an “OPEC offensive” within “center-periphery” economic relations (Girvan 1975, 1976; Tanzer 1980). Thus, most of the theorists of this category stress unequal exchange and the “challenge” of OPEC as a cause of the crisis.

The polity is a distinct, objective, and historically specific social category. We admit that the nature of the relationship between the political and the economic realm is somewhat controversial, but despite the dialectical interactions of the two, one cannot rely on the immediacy of these Wor l d O i l a n d t h e C r i s i s of G l ob a l i z a t ion 33 interactions. In other words, the study of political motivations (as the end results) may not necessarily bring us to the understanding of the social forces that may or may not have anything to do with those motivations.

Intensification and Reversal of the Oil Recovery More than 90 percent of US crude oil was produced from reservoirs located in nine states during the period 1965–74. Of this, nearly Wor l d O i l a n d t h e C r i s i s of G l ob a l i z a t ion 29 two-thirds was produced in Texas and Louisiana. The remaining one-third came from California, Oklahoma, Wyoming, New Mexico, Alaska, Kansas, and Mississippi. Studying the trend of average oil recovery in the United States and in the principal oil-producing states, in conjunction with the long-run investment per barrel, is one possible way of examining the actual emerging conditions that led to the formation of the present cost structure in the oil industry.

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