Inconsistent with the theory that oil will soon be in short supply and become a limited asset, production is expected to outweigh demand by 2020, causing a disproportional relationship between supply and demand, according to Leonardo Maugeri, senior fellow at Harvard Kennedy School, Belfer Center for Science and International Affairs, in his recent paper, “Oil: The Next Revolution.”

Maugeri opens with the looming possibility of oil overload. “Oil supply capacity is growing worldwide at such an unprecedented level that it might outpace consumption,” he says. “This could lead to a ...