Q1. You have been contracted by an economic consulting firm to determine the economic structure and possible future actions of OPEC, the Organization of Petroleum Exporting Countries.
Q2. 1. Differentiate among a monopoly and an oligopoly, and a cartel.
2. Also illustrate an example of a monopoly, an oligopoly, and a cartel.
3. Confer about the welfare effects of monopolies and oligopolies.
4. Explain how does game theory interacts with firms in oligopolies and cartels?
5. In your own words, illustrate the economic purpose of OPEC. What occurred to oil prices in last 5 years?
6. Amalgamate the information you have gathered and tell the economic consulting firm which actions you think OPEC will take over the next year Based on your answers to the above questions.