Question 47
International Economic OrganisationsIn order to stabilize oil price in the world market, there is the need for OPEC members to
- A.always have budget deficit.
- B.encourage competition among themselves.
- C.adhere to production quotas.
- D.fix the prices of non-oil products.
Show the answer and explanation
Answer: C (adhere to production quotas.)
Explanation
Keeping to agreed output quotas stops oversupply and keeps oil prices stable.