12.12.2014 - OPEC: RIP? Not So Fast
Many observers have proclaimed the death of OPEC. This seems to be a premature judgment, and may reflect a misunderstanding of oligopolistic practices. The decision not to cut production is not a sign of the OPEC impotence as has been argued. If OPEC would have cut output, and lost market share as a consequence, would OPEC's future really been brighter? OPEC is an unusual oligopoly. Its market share is less than 50%. There are important political and economic differences between members. Discrepancies of size, oil reserves and population are significant. Nevertheless, it has survived for nearly 55 years...............................................Full Article: Source
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