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nikklg [1K]
3 years ago
9

The Organization of Petroleum Exporting Countries (OPEC) controls much of the world's production of oil. If its members decide t

o lower their daily oil production, the price per barrel can rise. This can result not only in increased gasoline prices, but a general increase in prices over much of the economy because of the increased cost of transportation and production. This inflationary end result is predicted by the economic theory of __________...
History
2 answers:
Luda [366]3 years ago
7 0
This <span>inflationary end result is predicted by the economic theory of supply and demand, which dictates that if supply of oil is cut, then the price will rise to levels outside market value. </span>
Annette [7]3 years ago
3 0

Answer:This inflationary end result is predicted by the economic theory of supply and demand, which dictates that if supply of oil is cut, then the price will rise to levels outside market value.

Explanation:

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