The Organization of Petroleum Exporting Countries (OPEC) Is an International

question 255

Multiple Choice

The Organization of Petroleum Exporting Countries (OPEC) is an international cartel. If the cartel were to hire a consulting firm to monitor the production rates of member countries, the economic reason for this monitoring would be to

• A) make sure that each member country is producing at an output level at which price equals marginal cost.
• B) make sure all the member countries produce at least their quotas so that there will be no oil shortage.
• C) detect those member countries that are depressing prices by producing more than their assigned quotas.
• D) make sure that the marginal revenue for the last barrel of oil sold by each member country is less than its price.

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Definitions:

Lead-The-Market Pay Strategy

A compensation approach where an organization aims to offer salaries higher than the average within its sector to attract and retain top talent.

Job Posting

The process of communicating information about a job vacancy on company bulletin boards, in employee publications, on corporate intranets, and anywhere else the organization communicates with employees.

External Hiring

The practice of filling job vacancies with candidates from outside the organization.

Employment Referral

A hiring method where current employees recommend prospective candidates for a job opening, sometimes rewarded through a referral program.