The New Global Oil Market: Understanding Energy Issues in the World Economy

By Siamack Shojai | Go to book overview

Chapter 8
OPEC: Past, Present, and Future

Massood V. Samii

It is difficult to find an international organization, particularly one from the developing countries, that has received as much attention in the economic literature and international press as the Organization of Petroleum Exporting Countries. Having control of more than 77 percent of the world's oil reserves and over 50 percent of the world's oil export 1 has provided it with a unique role as the driving force behind the international oil market.

OPEC was initially established in September 1960 in Baghdad in response to a unilateral decision of oil companies to reduce posted prices of oil. The founding members--Iran, Iraq, Kuwait, Saudi Arabia, and Venezuela--stated a number of objectives for the organization, among which were for OPEC to achieve a fair rate of return on its oil export, oil price stabilization, and regulation of oil output. Based on the declaration, the organization's policies would take into account the interest of both producing and consuming countries.

That members shall study and formulate a system to ensure the stabilization of prices by, among other things, the regulation of production, with due regard to the interests of the producing and consuming nations, and to the necessity of securing a steady income to the producing countries, an efficient, economic and regular supply of this source of energy to consuming nations, and a fair return on their capital to those investing in the petroleum industry. 2

OPEC's success in preventing oil companies from reducing posted prices throughout the 1960s was overshadowed by sharp increases in crude oil prices in the 1970s and early 1980s. Measuring OPEC's success in terms of dollar income would lead to the conclusion that the organization was highly successful in those periods. Yet some OPEC officials and oil market analysts recognize

-85-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

(Einhorn 25)

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Note: primary sources have slightly different requirements for citation. Please see these guidelines for more information.

Cited page

Bookmark this page
The New Global Oil Market: Understanding Energy Issues in the World Economy
Table of contents

Table of contents

Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Help
Full screen
Items saved from this book
  • Bookmarks
  • Highlights & Notes
  • Citations
/ 266

matching results for page

    Questia reader help

    How to highlight and cite specific passages

    1. Click or tap the first word you want to select.
    2. Click or tap the last word you want to select, and you’ll see everything in between get selected.
    3. You’ll then get a menu of options like creating a highlight or a citation from that passage of text.

    OK, got it!

    Cited passage

    Style
    Citations are available only to our active members.
    Buy instant access to cite pages or passages in MLA 8, MLA 7, APA and Chicago citation styles.

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

    "Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

    1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

    Cited passage

    Thanks for trying Questia!

    Please continue trying out our research tools, but please note, full functionality is available only to our active members.

    Your work will be lost once you leave this Web page.

    Buy instant access to save your work.

    Already a member? Log in now.

    Search by... Author
    Show... All Results Primary Sources Peer-reviewed

    Oops!

    An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.