OPEC was able to function as an extremely successful cartel in the last half of the 1970s because
A) it was an association of governments rather than of private individuals.
B) it was able to separate OPEC oil from non-OPEC oil and to engage in price discrimination.
C) the increasing scarcity of oil produced an upward-sloping marginal revenue curve.
D) the widespread expectation of much higher future prices discouraged current production.
E) wars in the Middle East raised the marginal cost of producing oil.
D
Economics
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Refer to the above figure. Excess quantity supplied will exist when
A) the price is between $0 and $6. B) the price equals $6. C) the price equals $10. D) quantity demanded equals 15.
Economics