An Examination of Economic and Political Factors Affecting Rise and Fall of Oil prices During 1948-2008

The purpose of this study is to show that concentration on economic reasons may be inadequate to explain fluctuations in oil prices, and It may need a broad based study taking into account political economy and international relations. In this study Wehave followed a historical and analytical apporoach reviewing the events relating to hundred years of the last century and examining the first decades of the third millenium emphasizing on historical evidence to highlights that the main forces behindoil price fluctuation has been political and even ideaological.We reached this conclusion that competition among greate powers and their interaction with each other Play a very important role in determining oil prices.But as we approach the latest years, wefound that the role of organiztions supporting environment and the firms active in in new energy sources increasingly becom important in this regards.