Oil Market and OPEC Behaviour: Looking Ahead
In this presentation, Dr Fattouh considers six key questions that are important for any analysis of the future evolution of OPEC: In a falling market how tolerant is OPEC or some of its players to a decline in market share? Will OPEC remain passive to oil substitution policies as a result of energy security and climate change agendas? Does OPEC has the incentive to increase market share? Can OPEC increase production capacity to fill the projected non-OPEC supply-demand gap? Is OPEC behaviour symmetric to rising and falling market? What is the impact of OPEC investment policy on oil market structure and price formation process?