ECONOMICS
TECHNOLOGY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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to regulate the supply and price of oil
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to help the Palestinians in their problems with Israel
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to improve oil production technology
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to help countries locate and produce oil
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Detailed explanation-1: -OPEC’s objective is to co-ordinate and unify petroleum policies among Member Countries, in order to secure fair and stable prices for petroleum producers; an efficient, economic and regular supply of petroleum to consuming nations; and a fair return on capital to those investing in the industry.
Detailed explanation-2: -OPEC produces about 40% of the world’s crude oil and its members’ exports make up around 60% of global petroleum trade. The group aims to regulate global oil prices by coordinating on reductions or increases in production.
Detailed explanation-3: -In order to keep prices of the oil stable, OPEC countries usually maintain a quota of oil supply. OPEC countries together decide the amount of oil to be produced by them. while keeping in mind the demand for oil in the market, OPEC decides the amount of crude to be produced by member countries.
Detailed explanation-4: -OPEC is trying to prop up oil prices as global demand slows down OPEC and its allies plan to slash oil output by 2 million barrels a day to prop up oil prices. Gasoline prices are rising again in the U.S., but the effects vary in different parts of the country.
Detailed explanation-5: -While Saudi Arabia – one of the founding members of OPEC-claimed that the output cut (equal to 2% of global supply) was prompted by the weakening global economy and interest rate hikes in some western countries, U.S and its NATO allies have accused the group of ‘colluding with Russia’.