Petrobras new fuel pricing formula and Brazil's subsequent woes


Brazilian integrated oil and gas company, Petrobras is on a dilemma of poor performance and huge losses.State-run corporationdecided to change the diesel and gasoline pricing policy to be implemented as from November 29th, 2013.This study seeks to synopsize the effect of fuel price gap and its glaring role in the economy of Brazil. It also focuses on the bittersweet impact of Petrobas price mechanism revealed not long ago. The paper gives insights to the readers on the price regulation flaws and unjust political conditions impacted in an economy.




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