Academic Writing for International Students of Business

5 Practice D

 Study the flow chart below, which shows some of the possible effects of a higher oil
price. Complete the paragraph describing this situation.

2.2:Cause and Effect 99

Price of oil rises by 25%

Cost of transport

and freight rises

Oil consumption

falls

Increased

investment in oil

exploration

Reduced demand

for large cars

Airline profits fall

Demand for

alternative

fuels rises

Increased demand

for oil rigs

Increased demand

for small cars

An increase of 25% in the price of oil would have numerous results.

First, it would lead to...

6 Practice E

 Choose one of the following situations. Draw a flow chart similar to the one above
showing some probable effects, and write a paragraph to describe them.

(a) A property price bubble.

(b) Interest rates reduced below 1% by the central bank.