Watching the World: Rodríguez's dilemma

11/20/2000
Four production hikes and, according to Organization of Petroleum Exporting Countries figures, over 3.7 million b/d later, OPEC's attempts to steady the price of crude have come to naught. As OPEC changes direction and begins to think about cutting output to evade a price collapse in the spring and as investment banker Simmons & Co. International Pres. Matt Simmons forecasts a "savage" energy crisis on the horizon, the question of why such a massive output increase has had so little effect on the oil market looms large.One explanation comes from, among others, the London-based Centre for Global Energy Studies. By CGES computations, OPEC's aggregate output increase numbers exist on...
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