Given that OPEC [Organization of the Petroleum Exporting Countries] has been a successful cartel,all of the following factors could have contributed to its success,except:
A)a low price elasticity of demand for oil.
B)an increase in the consumption of products that require oil.
C)OPEC's ownership of a large percentage of known oil reserves.
D)a high supply elasticity of crude oil by non-OPEC producers.

Question

Quizplus · Accepted Answer

A high supply elasticity of crude oil by non-OPEC producers would limit OPEC's ability to control prices and stabilize the market, which would make it difficult for OPEC to maintain its cartel status. Therefore, this factor would not contribute to OPEC's success, unlike the other three factors listed.

Given That OPEC [Organization of the Petroleum Exporting Countries] Has