what does opec stand for
organisation fo petroleum exporting countries
what is opec an example of
members?
geopolitical relationship between countries
13 member coutrnies (Algeria, nigeria, saudi arabia)
purpose of opec
operate as cartel of co-operative producers
attempt to control supply to the world market to influence price of oil
example of opec’s influence
2014:
fall in price of oil due to increase shale oil production in US
&
demand decrease as china’s economic growth slowed
Opec released more oil supplies in world market, undercut US unconventional oil production, makes it less viable to produce