The Microeconomics of OPEC
—-Instructions—-
The paper should be single spaced;
However, the paper sources should be MLA.
—-DIRECTIONS—-
I would also like to provide you with an understanding of what this paper is about. It is about OPEC, or the Organization of Petroleum-Exporting Countries, and understanding how it sets the prices of petroleum around the price. What is the criterium that they use to set the prices (Is it mathematics? or Is it pure will?). What effect does the price that they set have on the global economy?
Page 1: Introduction (What is OPEC? What is its history?)
Page 2: How does it set the price? (How does it calculate projected supply of member’s nations.)
Page 3: Continuation of Page 3.
Page 4: Add graph and explain. (The explanation should be about 2/3 of the page.)
Page 5: How does it affect other producers of oil, outside of the OPEC constituent states. (Does Russia change their production in accordance? How do the oil majors react to this?)
Page 6: How does it affect the commodity price of oil? Internationally.
Page 7: Add a graph (The explanation should be 2/3 of the page).
Page 8: Conclusion (Summarize everything that has been said before.)
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