Introduction

The OPEC action in 1973 brought to the surface the problem of resource exhaustion. Although the report by the Club of Rome (Mishan, 1969) had spelled out in detail the possible disaster for the world due to the depleting stock of natural resources, it was not taken seriously until the sudden increase in the price of crude oil forced the world to think deeply about the resource problem and to formulate economic policies accordingly. We think that the problem can be solved with proper planning and utilisation of resources, thereby reducing the wastage encouraged by the market system, and with proper development of the alternative sources of energy goods in particular. The purpose of this study is to evaluate those prospects.