Natural Resource Cartels Such as OPEC Are Inherently Unstable Because

question 104

True/False

Natural resource cartels such as OPEC are inherently unstable because their members operate with excess capacity and have an incentive to cheat on their output quotas.

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Definitions:

Manufacturer's Representative

An individual or business that sells a manufacturer's products to wholesale and retail customers, but does not take ownership of the goods.

Marketing Channel

Pathways and intermediaries involved in the process of moving a product or service from the producer to the consumer.

Indirect

In a manner or by means not directly explicit; involving an intermediary or secondary channel.

Direct

The process or manner of communication or transaction that happens without any intermediaries.