More Terms

Hi everyone!

Hope you are all getting excited about conference in two days!  We can't wait to meet you all and hear all your great ideas.  I am just going to explain a few more key terms so you all feel super ready and prepared come Friday!  Hope this helps guide the rest of your research.

• 1960 Baghdad Conference- This conference between the five founding members of Iran, Iraq, Kuwait, Saudi Arabia and Venezuela established OPEC. They created the organization for the purpose of “the coordination and unification of the petroleum policies of Member Countries and the determination of the best means of safeguarding their interests.”
• Arab Petroleum Congress- The Arab Petroleum Congress was a group of Arab League states used to correspond information about petroleum policy. It was the precursor for OPEC, which was created at the 1960 Baghdad Conference.
• 1980’s Oil Glut- After the Arab Oil Embargo, the demand for oil slowly decreased as countries were forced to rely on other means of energy while the embargo was in place. When OPEC nations were unable to comply to their quotas, which caused the organization to suffer as a whole.
• Crude Oil- Naturally occurring, unrefined petroleum
• Market Share- The portion of the market (the oil market in our case) owned by a company (or nation in our case)
• Prisoner’s Dilemma- The idea that two parties in a situation are unable to reach the best overall outcome because they are both individually tempted to cheat, which would lead to a worse overall outcome for both parties. This relates to OPEC in that nations are tempted to overproduce to make more money instead of looking out for the best interest of the organization.