Monday, December 6, 2010

OPEC Cartel

OPEC is a global organization dedicated to stability in and shared control of the petroleum markets. OPEC stands for Organization of the Petroleum Exporting Countries and is a well-known cartel in modern society. Twelve countries are members of OPEC. In order to be a member, the country must be a big exporter of petroleum. These countries work together to keep competition out of the oil industry in order to keep the prices high. Everyone who pays for gas would benefit from this cartel being broken up because with the countries no longer working together to keep the price high, they would be forced to compete for buyers, which would drive the price for oil down as the countries try to undercut each other.

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