THE PROMINENT ROLE OF SAUDIA ARABIA IN THE OIL MARKET FROM 1997 TO 2011

Journal Article

AlYousef, Nourah . 2012

• نوع عمل المنشور: بحث
• رابط المنشور على الويب: http://www.scribd.com/doc/115681968/Journal-of-Energy-and-Development-vol-36-no-...
• المجلة \ الصحيفة: THE JOURNAL OF ENERGY AND DEVELOPMENT
• رقم العدد: 1
• رقم الإصدار السنوي: 36
• الصفحات: 62-83

مستخلص المنشور

Saudi Arabia assumed an essential position in the oil markets from 1974 to 1985. However, in 1985 Saudi Arabia abandoned its swing producer mantle. Since 1987, Saudi Arabia has maintained its share of the market. With the decline in OPEC’s spare capacity, and the low growth of non-OPEC supply,  Because Saudi Arabia has a high reserve/output ratio, it aims to maintain a stable oil price to keep oil competitive over the long term, to preserve its initiative in OPEC’s pricing objectives, and to assert its power in the market. To achieve these objectives, Saudi Arabia increases output to keep spot prices low and reduces output to maintain stable oil prices. This model appears to fit the country’s behavior at various moments in the history of the oil market. This paper attempts to analyze the role of Saudi Arabia in the oil market by considering its role as a swing producer model from 1997 to 2011,  using the most recent econometric analysis