I accidentally ended up In a government file and read the following?
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This part of what i read confused me, Factors Influencing Gas Markets in 2006 1. Extreme effects on supply (hurricanes) and demand (January weather) 2. Apparent responses to price by both supply and demand 3. Anticipation of oil prices and summer weather . . . please explain number 1 to me
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Answer:
Since you do not need number 2 explained, all you got to do is take that same concept and use it for number 1. Its the same thing really, but using hurricanes (shutting down offshore oil rigs and such) and the supply and demand affects of high usage during colder months.
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Don't believe you read this anywhere except a high school or college textbook. If you work for the government, you'd understand what it meant.
Supply: Hurricanes would cut the supply of gas as oil and gas refineries would be closed for staff safety and a shortfall in gas supply would drive up the price. Demand: If the weather is colder than usual in January then people will burn more gas heating their homes.
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