Lesson 7 - Lesson 7 OPEC Venezuela Algeria Nigeria Libya Saudi Arabia United Arab Emirates Qatar Kuwait Iraq Iran Indonesia-This oligopoly(a

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Unformatted text preview: Lesson 7 OPEC : Venezuela, Algeria, Nigeria, Libya, Saudi Arabia, United Arab Emirates, Qatar, Kuwait, Iraq, Iran, Indonesia-This oligopoly (a monopoly only has a single controlling entity, an oligopoly has cohorts acting together to form a controlling entity) controls production via quotas for each member country. -The lower the production, the higher the price per barrel (providing there is enough demand). The higher the production, the lower the prices per barrel, but more barrels are sold. OPEC countries produce 40% of the crude oil. OPEC countries have 75% of the World Reserve of crude oil 9,000,000 barrels a day x 365 days a year = 3.3 x 10^ 9 barrels per year Lifetime = 255,000,000,000 barrels / 3.3 x 10 9 barrels per year Lifetime = 77 years-Israel is a United Nations created country. In 1973 Egypt and Syria jointly attacked Israel on Yom Kippur, during the "Cold War". Syria was receiving military supplies from Russia and Israel military supplies from the US, UK, and the Netherlands. When Israel had survived the initial attack, recovered their lost ground, the US, UK, and the Netherlands....
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This note was uploaded on 03/31/2008 for the course EGEE 101 taught by Professor Mathews,jonathan during the Fall '06 term at Pennsylvania State University, University Park.

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