2 ms·
OPEC was never a very effective cartel in the first place. Many of the members routinely exceeded production targets. And for geological reasons it's not like m
by nradov 6mo ago
OPEC was never a very effective cartel in the first place. Many of the members routinely exceeded production targets. And for geological reasons it's not like most oil wells can even be throttled down.
- IAmBroom 6mo agoStorage facilities allow for market supply control. And while it's true many member exceed targets, it's like speeding on US highways: everyone does it, but anyone driving 20 mph faster than the pack is nobody's friend. Karma will happen.
- nradov 6mo agoNone of the OPEC+ members have sufficient storage facilities to allow for meaningful market supply control. And karma isn't a real thing: most OPEC+ members are more like rivals then real allies. They'll agree to one thing and then do another, secure in the knowledge that there will be no serious consequences.