Domestic pricing of petroleum products: efficiency and equity impacts in developing countries

Government Subsidies and Demand for Petroleum Products in Iran

“…Unfoi-tunately, the rationed sample is too sinall to yield precise estimates independently. With more l5 For a discussion of efficiency vs. equity in energy pricing in developing countries, see Julius (1986).…”

“…Oil-exporting countries are among the world's fastest growing consuiners of petroleum products. Between 1966 and1986, encouraged by rising incoines and falling piices, doinestic consumption of oil in OPEC countries increased by 94 per cent per year. Without fui-ther increase in capacity, at this rate their consumption of refined productswhich in 1993 stood at 15 per cent of oil production capacitycould exceed 50 per cent in fifteen years, thus displacing the rest of the world as the main consuiner of OPEC oil.…”