Respuesta :
Answer: There would be scarcity of oil, and an increase in the price of oil.
Explanation: supply can be defined as the quantity the supplier has taken to the market for sale at the ruling price. The law of supply states that, the higher the price the greater the quantity that will be supplied.in this case the supply curve will slopes upward from left to right. In the question the organization of petroleum exporting countries is reducing supply of oil to the market in order to force the price up, it will create a situation in which there is an increase in the demand for oil in which the supply cannot match.
Price is one of the major factors that causes changes in supply, when the price of a commodity falls, it is an indication that less ofsuch a commodity is needed in the market. The reaction of the producers is to reduce supply. But on the other hand, if price rises more will be supplied because an increase in price indicates that the commodity is being bought by the consumers.
