Is OPEC dead?
Posted December 2nd, 2008 by jshowell
output
Are we watching the death of OPEC?
The fundamental problems of the once-mighty Organization of Petroleum Exporting Countries are being laid bare by falling prices and production cuts.
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December 02, 2008 -- 13:30 ET
The plunge from $148 a barrel to $50 a barrel in less than five months has opened huge fissures in the Organization of Petroleum Exporting Countries. Some members, such as Iran and Venezuela, are desperate to raise oil prices so they can balance their national accounts. More-conservative members, such as Saudi Arabia, can balance their budgets even at current prices and have room to fear they will be the scapegoats if the global recession deepens.
We've sat deathwatch for OPEC before, but this time the cartel's future looks especially bleak. Its Nov. 29 meeting in Cairo, Egypt, ended with members deeply divided. The Venezuelas and Irans of OPEC have dug themselves into such a big spending hole that their only way out would be for OPEC to raise prices by cutting production while letting the cartel's hardest-pressed members cheat.
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If the power elite
are behind this so what? People are tightening their pocketbooks this Christmas and they're not all Ron Paul supporters either. We know the times are shaky and we now know not to trust what we hear anymore on the controlled media, or from the corrupt Fed and their sleazy friends in the banking, finance, energy, insurance, health, FDA etc. etc. Everyday at work me and an Obama supporter talk about economic news and surprisingly we agree on many things. He even told me himself he wasn't going to take advantage of the low gas prices and fill up extra, he's boycotting the pump! I guess you could say I am as well, because I don't drive anywhere unnecessarily and extremely limited my planning for road trips to just family. The future is just too cloudy for now, and more Americans are starting to smarten up about it. If OPEC were smart, they would invest in whatever energy source is to replace oil in the future. Or perhaps they are....
Low oil prices means more
Low oil prices means more staged terrorist attacks and pirate attacks in the middle east.
The more chaos in that region, the higher the oil prices.
That's the number one reason why the world should get off of oil.
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This is why it's so
This is why it's so important to press our advantage. This would be the perfect time to negotiate long-term energy contracts with "rogue" OPEC nations. ;) Remember, we're not going to be weaned off of oil overnight.
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Truther?
No, sir!
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http://libertarianwiki.or...
No, but their power is limited.
OPEC can't repeal the laws of supply and demand. When oil spiked a couple months back, it was inevitable that demand would drop drastically.
-jcr
I called into Alex's show yesterday.
I wanted to ask pastor Lindsey Williams a question about OPEC. Williams stated last time he was on the show that oil being 50 dollars a barrel was to bankrupt the Arabs.
I, in turn asked why OPEC wouldn't band together and control the supply of oil,therefore raising the price.
They both agreed that OPEC had no "say so" in the matter,and that it was the elite that were the culprits.
I still am scratching my head on this one. Williams DID say that oil would CONTINUE to stay at 50 dollars a barrel for the next 6 to 12 months. He said enjoy it while you can.
I heard you yesterday on my
I heard you yesterday on my podcast!
That pastor was a frustrating guy to listen to. He kept repeating himself by saying, "okay, I'm gonna tell you what's gonna happen, I'm gonna tell you what's gonna happen", but never came out with it. Except that oil was gonna remain at $50/barrell. I was going nuts
Awesome though!
Exactly....
He sounded like a broken record. Alex didn't like the fact that I asked the pastor " why we should believe him"
I was frustrated because Alex always says he is going to get to calls,and rambles for most of the time. Then he has these numbskulls that don't ask any legit questions,and then time's up...
VERY FRUSTRATING!!!
AJ pisses me off sometimes.
AJ pisses me off sometimes. I just re-listened to that particular segment. can't believe he just blatantly cut you off for asking a simple question. I mean, it was a nice set up, you told him you hope he doesn't take it offensively...
As long as oil stays above $30 a barrel
everyone involved is making money hand over fist, if it dips below $30 the s*@t hits the fan.
"Americans need to take a Democrap and wipe it's Republican from the history books of this once great Nation"
-Concerned Citizen
not dead, they just have no say on oil price..but nothing new..
/Mike
I don't believe for a second
I don't believe for a second that OPEC is dead. Prices will go back up sooner rather than later, and when they do, OPEC will be right back in the drivers seat.
http://federalfallacy.blo...