OPEC’s Production Policies: How do They Work? Why don’t They Work?

1. Introduction

2. Actual Production Patterns and Agreed Quotas

2.1 Introduction

2.2 Criteria for Assessing Over- and Under- Production

2.3 Assessment of Production Patterns

2.4 An Assessment of Methodical Production Procedures

3. The Principles Underlying OPEC’s Production Agreements and Their Implications

4. The Factors which Hinder the Making of Good Production Agreements and their Successful Implementation

4.1 Political Compromises

4.2 Ambiguities and Misperceptions

4.3 Conclusion

5. Pricing Policies and Objectives

5.1 Introduction

5.2 The Price Impact of Production Programmes

5.3 Divergent Price Objectives

5.4 Whither the Pricing Policy?

5.5 A Simple Scheme for Linking Production and Pricing Policies

6. The Future