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Describe in your own words what is the relation between the Forward price of oil and the cost of storage. Besides providing the basic relation
Describe in your own words what is the relation between the Forward price of oil and the cost of storage. Besides providing the basic relation (increasing, decreasing, independent), please provide the economic reasoning. You are greatly encouraged to provide any graphical representation that might help convey the idea. Maximum 200 words. Please write as clear as possible.
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