OPEC to meet Friday

[jbrace]

h ttp://www.marketwatch.com/news/story/OPEC-faces-uphill-battle-oil/story.aspx?guid=%7BF3A77DD1%2D39E6%2D4C4A%2D9525%2 D20F67841548B%7D


I found it interesting they're are going to meet? They want to cut oil production so they can raise the price of oil. :(

[Bman]

h ttp://www.marketwatch.com/news/story/OPEC-faces-uphill-battle-oil/story.aspx?guid=%7BF3A77DD1%2D39E6%2D4C4A%2D9525%2 D20F67841548B%7D


I found it interesting they're are going to meet? They want to cut oil production so they can raise the price of oil. :(

They tried this before. Luckily last time the Saudi's told them to F off. First time I actually had a warm feeling for Saudi's. Let's hope they do it again.

[Conza88]

Why the f--k is a cartel like this openly allowed to exist?

Can't someone leave the membership and be like; suck my balls.. I'm gonna sell if for $___ try stop me... :confused:

[Bman]

Why the f--k is a cartel like this openly allowed to exist?

Can't someone leave the membership and be like; suck my balls.. I'm gonna sell if for $___ try stop me... :confused:

That's exactly what the Saudi's did last time. If they do they same thing this time they will help avoid the world chaos that will be created by this cartel. It shouldn't be that way and is the reason we must move to alternate energy sources before the world decides to burn itself over oil more so than it already has.

[Mini-Me]

Why the f--k is a cartel like this openly allowed to exist?

Can't someone leave the membership and be like; suck my balls.. I'm gonna sell if for $___ try stop me... :confused:

It might just cost so much to get into the oil business that there aren't really all that many players. Whether or not that's true, companies that are in the business usually have very strong ties with their respective national governments (:rolleyes:), which is why OPEC is a cartel of countries rather than companies...and that limits the pool of competitors much further. Because there are so few players, it's not really all that hard for them to come together and decide they'd all mutually benefit from avoiding price wars. ;) The harder it is for new competition to break into an industry (the higher market entry barriers are), the easier it is for cartels to form, and the more likely they are to stick for a significant duration of time.

Of course, this wouldn't be such a damn problem for us if our own government didn't restrict alternative energy competition so tightly...after all, oil is not the only viable energy source. Unfortunately, our own oil companies have our legislators and the Department of Energy on a tight leash.

[Pauls' Revere]

Why the f--k is a cartel like this openly allowed to exist?

Can't someone leave the membership and be like; suck my balls.. I'm gonna sell if for $___ try stop me... :confused:

Here is a directory of some countries with anti-trust laws. Perhaps OPEC has none?

http://www.internationalantitrust.com/

[Pauls' Revere]

Why the f--k is a cartel like this openly allowed to exist?

Can't someone leave the membership and be like; suck my balls.. I'm gonna sell if for $___ try stop me... :confused:

and this: Can US antitrust be applied?
http://www.dundee.ac.uk/cepmlp/car/assets/images/Emma.pdf

House passes Bill to sue OPEC!!!
http://www.crowell.com/NewsEvents/Newsletter.aspx?id=912
:D
Bush VETOED!
8(

[Mini-Me]

Why the f--k is a cartel like this openly allowed to exist?

Can't someone leave the membership and be like; suck my balls.. I'm gonna sell if for $___ try stop me... :confused:

I should also mention that they fear potential competition from alternative energy sources, so they're usually hesitant to outright price-gouge. From the OPEC Wikipedia site:

The economic needs of the OPEC member states often affects the internal politics behind OPEC production quotas. Various members have pushed for reductions in production quotas to increase the price of oil and thus their own revenues. These demands conflict with Saudi Arabia's stated long-term strategy of being a partner with the world's economic powers to ensure a steady flow of oil that would support economic expansion.[18] Part of the basis for this policy is the Saudi concern that expensive oil or oil of uncertain supply will drive developed nations to conserve and develop alternative fuels. To this point, former Saudi Oil Minister Sheikh Yamani famously said in 1973: "The stone age didn't end because we ran out of stones."[19]