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Explain Why OPEC Is Caught in a Prisoner's Dilemma

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Explain why OPEC is caught in a prisoner's dilemma?


Definitions:

Comparative Advantage

The capability of a company, individual, or country to manufacture a product or offer a service with a reduced opportunity cost than competing entities.

Specialization

The process of focusing efforts and resources on a limited range of activities, goods, or services to gain efficiency or expertise.

Opportunity Cost

Declining the opportunity for potential benefits from a range of alternatives upon selecting one.

Cell Phones

Portable telecommunication devices that allow users to make voice calls and access various digital services over cellular networks.

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