OPEC is a:
A) group of oligopolistic producers that try to behave like a monopoly.
B) monopoly that tries to behave oligopolistically.
C) group of perfectly competitive producers that try to behave in a monopolistically competitive manner.
D) group of monopolistically competitive producers that try to behave in a perfectly competitive manner.

Question

Quizplus · Accepted Answer

OPEC (Organization of the Petroleum Exporting Countries) is a group of countries that collaborate to control the production and price of oil. Their behavior is consistent with that of an oligopoly, where a few firms (in this case, countries) collude to limit competition and increase profits. Therefore, the best choice is A, a group of oligopolistic producers that try to behave like a monopoly.

OPEC Is A