2 ms·
OPEC technically engages in supply fixing - the market then sets the price driven by the intersection of the demand curve and the (fixed) supply. If OPEC reduce
by sib 4y ago
OPEC technically engages in supply fixing - the market then sets the price driven by the intersection of the demand curve and the (fixed) supply. If OPEC reduced supply and users of oil reduced demand by more than that same percentage, prices would likely drop.