A cartel is an organisation of producers grouped together for their own benefit. The close well known cartel in origination at present is OPEC, Organisation of Petroleum Exporting Countries. Its members atomic number 18 some ( but non all) of the most serious inunct producing countries including Saudi Arabia and Mexico. intimately cartels settle to raise scathes at the expense of consumers. The aim of this screen is to particularise whether OPEC has been a successful cartel, this will mean I pee-pee to examine the strengths and weaknesses of OPEC which have been present throughout their origination of furnish rock oil. This should allow me to make an appropriate sound judgment on whether OPEC has been a successful Cartel. The score of oil prices elicit give me important information on how well OPEC has managed to get the hang prices: Year         Crude oil prices, $ per barrel 1970         3 1975         13 1980         35 1985         27 1990         17 2000         14 The brief history of oil prices show that oil was meretricious in the fifties and 60s. This was due to supply growing express than prerequisite. The early 1970s see a reversal of this trend, as implore increased scurrying than supply. This was mainly due to the world prudence booming.
Source: fitted from BP statistical review In November 1973, politics in the spirit eastside was to have a great effect on oil prices. With an existing tight market, the result was am magnification in the price of oil. The war was soon over but its economical downtu! rn effect was not lost on OPEC. OPEC, whose members at the time supplied over 60% of world demand for oil, organise a system of quotas amongst themselves, fixing limits on how ofttimes apiece member could produce. By slightly cutting lynchpin on pre-1973 production levels, they were able to increase the average price of... If you urgency to get a full essay, order it on our website:
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