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In late April, oil prices dropped to a historic low: -$37 (negative $37!) per barrel, on the May
futures contract.
The short video clip below talks about the supply and demand conditions that led to this unusual
occurrence.
Required: The OPEC has long served as an example for a cartel in lessons (in economics) on
Oligopoly. Apply your understanding of game theory to explain why OPEC finds it difficult to
enforce production limits (quotas) on its member countries. One article is provided for your
reference; you may want to read at least one more. Cite additional article(s) you read.
https://www.bloomberg.com/news/articles/2020-05-04/opec-middle-east-oil-flows-surged-in-
april-as-saudis-opened-taps
1 page
APA
3 sources
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