The Organization of the Petroleum Exporting Countries held a meeting due to rising oil prices caused by new sanctions on the Russian invasion of Ukraine. During the meeting, a proposal was introduced suggesting that each OPEC member should increase production by 10 percent to lower world prices from $75 to $70 per barrel. Nigeria, Saudi Arabia, Iran, and Kuwait were all considered in this proposal. The suggested increase of 10% in production aims to reduce oil prices shows that Nigeria would spend $25 more per barrel, Saudi Arabia $10, Iran $20, and Kuwait $15. Which country do you think would support the proposal? Explain

Answer rating: 100% (QA)

Saudi Arabia would likely support the proposal to increase production by 10 in order to ... View the full answer