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Saudi Arabia, despite being not in any way leftist, is in pretty much the same boat. They've just got more money in the bank at the moment. Similarly, Ecuador
by crdoconnor 11y ago
Saudi Arabia, despite being not in any way leftist, is in pretty much the same boat. They've just got more money in the bank at the moment.
Similarly, Ecuador is pretty leftist. It just has a substantially better run economy.
- varjag 11y agoSaudis are the ones waging the price war. Without their effort, oil prices would've been quite a bit higher now.
- Riod 11y agoWaging a war by not supporting artificially low quotas enacted by a cartel? That makes no sense
- varjag 11y agoOPEC without SA is irrelevant, it's like NAFTA without the USA. Saudi wage the price war on emergent players (frackling and shale extractors), disregarding the wishes of lesser market players like Venezuela.
- Riod 11y agoIt's not a price war if you're reverting to a competitive market after many years of running a cartel. Unless you dislike a competitive market? The Saudis realise that setting a high price allows for artifically high shale investment which would eventually disenfranchise the Saudis. They rather take some pain now than sponsor their own demise.
- varjag 11y agoMy point was Saudi are not some victims of cartel policies. They run it (or ruin it) at their own discretion as the largest member by far. Cartel quotes were never binding them in any practical way.