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The Oil Shock of 2007-2008 Saw the Price of Oil

question 31

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The oil shock of 2007-2008 saw the price of oil rising from less than $60 a barrel in March 2007 to over $145 a barrel in July 2008,and decreasing again to just over $30 a barrel in December 2008.Assuming the economy was at potential GDP prior to the oil shock,the increase in the price of oil,such as what occurred between March 2007 and July 2008,acts as a negative supply shock,resulting in


Definitions:

Pulmonary Vein

A vein that carries oxygenated blood from the lungs to the left atrium of the heart.

Capillary

A capillary is a tiny blood vessel in the body's circulatory system that connects arterioles and venules, facilitating the exchange of water, oxygen, carbon dioxide, and other nutrients and waste substances between blood and tissues.

Pulmonary Circulation

The part of the circulatory system responsible for carrying blood from the heart to the lungs and back.

Right Atrium

The right upper chamber of the heart that receives deoxygenated blood from the body and pumps it to the right ventricle.

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