The New C Word
A cartel is an organization of producers that agree to coordinate prices and production.
The Organization of the Petroleum Exporting Countries (OPEC) is a cartel of twelve countries made up of Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates, and Venezuela. The cartel has maintained its headquarters in Vienna since 1965, and hosts regular meetings among the oil ministers of its Member Countries.
REUTERS -- An OPEC statement formally confirming the decision said the organization "reiterated their firm commitment" to their quotas — organization members under quotes are still producing more than 800,000 barrels a day above the group's overall target level of just under 25 million barrels.
MP: So let me get this straight. OPEC is not a cartel (watch the video above), but the members have just met to engage in collusion to restrict output, and they are all now firmly committed to the production quotas they agreed to maintain?!