31._OPEC_s_Imperium_Revised_F09 - 31. OPECs Imperium 1...

Info iconThis preview shows pages 1–6. Sign up to view the full content.

View Full Document Right Arrow Icon
1 31. OPEC’s Imperium
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
2 OPEC’s Golden Age (1974-1978) OPEC became a major force in world economy Flow of petro-dollars earnings: from $23 to $140+ billion Acquire the trappings of the West but not adopt their ways The OPEC shopping spree Buy a modern economy off the rack Build modern military forces BOP: $67B surplus (1974); $2B Deficit (1978) From massive spending and galloping inflation
Background image of page 2
3 Impacts of Oil Price Shocks Stagflation Developing countries hurt the most The OPEC nations set up aid programs for these “fourth-world” countries hit by the recessionary and inflationary shock. Culture shock in OPEC nations
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
4 The Clumsy Cartel? Cartels regulate production and price During 1970s OPEC set prices. But did not control output Cartel cohesion was an issue Iran continued to press for higher prices Saudi Arabia urged moderation
Background image of page 4
5 Saudi’s Oil Man The face of Saudi oil was Ahmed Yamani, a calm and calculating former lawyer
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 6
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 04/19/2011 for the course EGEE 120 taught by Professor Considine,timothy during the Spring '07 term at Pennsylvania State University, University Park.

Page1 / 9

31._OPEC_s_Imperium_Revised_F09 - 31. OPECs Imperium 1...

This preview shows document pages 1 - 6. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online