NECO 2002 Government · Question 31

The Organization of Petroleum Exporting Countries (OPEC) is an example of a/n

Options

  1. A.economic grouping
  2. B.international political organization
  3. C.pure Arab grouping
  4. D.United Nations agency
  5. E.world body

Answer: A. economic grouping

Explanation written with AI and checked against the answer key

Step 1: Analyze the question The question asks what type of body OPEC is. We need to classify it by its purpose and membership.

Step 2: Explain the concept OPEC was founded in 1960 (Baghdad) by Iran, Iraq, Kuwait, Saudi Arabia and Venezuela. Nigeria joined in 1971. Its main aims are to:

  • Coordinate and unify petroleum policies among member countries
  • Stabilize oil prices in the international market
  • Ensure a steady income for member countries and a regular supply to consumers

Because its focus is on oil production, pricing and revenue, it is an economic (commodity) grouping or cartel.

Step 3: Evaluate the options

  • A. Economic grouping: Correct. Members unite around a shared economic interest (petroleum) and coordinate production and pricing.
  • B. International political organization: Wrong. Its core mission is economic, not political.
  • C. Pure Arab grouping: Wrong. Members include non-Arab countries such as Nigeria, Venezuela, Iran and Angola.
  • D. United Nations agency: Wrong. OPEC is an independent intergovernmental organization, not part of the UN system.
  • E. World body: Wrong. Membership is limited to selected oil-exporting countries, so it is not a global body like the UN.

Step 4: Answer OPEC is an economic grouping, which is option A.

Tip: When you see an organization with "Exporting," "Producers," or "Economic" in its name (OPEC, ECOWAS, and so on), think economic grouping. Also remember that OPEC is not purely Arab and not a UN agency. Those are common distractors.

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