The term "peak oil" was originally coined by Colin J. Campbell who wrote a paper in 1998along with Jean H. Laherrre titled "The End of Cheap Oil" in which they predicted that oil production would peak around 2004-5.

Let us define "peak oil" as a point in time where thequantityof oil extracted and consumed (let's just assume these are the same) reaches a maximum and then starts to decline. Based on economic theory, (in other words, I'm not asking you to predict anything specific about the oil market in the real world, just a general theory question) should we expect this period of declining production to be accompanied by high and rising prices or by low/falling prices?Give a brief explanation using graphs where appropriate.