THE NEW OIL PRICE REGIME
by Dr. Maj id A. Moneef, Department of Economics, King Saud University, Riyadh
Many oil analysts agree today that the oil market is in a state of transition and a new oil price regime will emerge from the slack market of the eighties. Such a regime involves an interaction between market forces and the policies of oil producers, whether unilateral or structured in an OPEC framework.
When the oil industry had a high degree of concentration and...