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OPEC, the Petroleum Industry, and United States Energy Policy

By: Arabinda Ghosh | Book details

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nations for a durable rapprochement. But we must credit him for his early leadership in seizing the initiative to build up resistance against OPEC's abnormal price increase, for establishing the IEA, for pushing the IMF to set up a $25 billion "safety net" for payment adjustments by the industrialized countries, and for searching for an alternative strategy to restrain OPEC. The failure of his floor-price plan or his efforts to achieve a status quo ante were due more to his unfamiliarity with international economics. As did many others, he also underestimated the strength of OPEC, and he tried to halt it with an aggressive policy that was doomed to failure.


NOTES
1.
Middle East Economic Digest, October 4, 1974.
2.
Edith Penrose, "Profit Sharing Between Producing Countries and Oil Companies in the Middle East," Economic Journal ( June 1959).
3.
"Hands Tied," Wall Street Journal, September 26, 1974.
4.
Business Week, September 23, 1974.
5.
U.S., Department of State, Bureau of Public Affairs, address by Henry Kissinger, November 14, 1974.
6.
U.S., Department of State, Bureau of Public Affairs, address by Henry Kissinger, February 3, 1975.
7.
M. A. Adelman, "On Coping with the World Oil Cartel," testimony before the Committee on Foreign Relations, U.S. Senate, 1975.
8.
A. Ghosh, "Lessons from Paris," Oil Daily, May 27, 1975.
9.
Address by Henry Kissinger, Kansas City, Missouri, May 13, 1975.
10.
C. Fred Bergsten, "The Thrust from the Third World," Foreign Policy (Summer 1973).
11.
Message by Henry Kissinger, United Nations, September 1, 1975.
12.
New York Times, December 14, 1976.

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