Swing producer

  1. Pages using duplicate arguments in template calls
  2. Pages with broken file links
  3. Market structure and pricing
  4. Imperfect competition
  5. Oligarchy
  6. Petroleum economics and industry
  7. Commodities market


Swing producer is a supplier or a close oligopolistic group of suppliers of any commodity, controlling its global deposits and possessing large spare manufacturing capacity. A swing producer is able to increase or decrease commodity supply at minimal additional internal cost, and thus able to influence prices and balance the markets, providing downside protection in the short to middle term. In the long term, however, the price of commodity is subject to major changes over time, particularly tied to the overall business cycle. Examples of swing producers include Saudi Arabia[1] in oil, Russia in potash fertilizers,[2] and, historically, the De Beers Company in diamonds.[3]

See also

References

  1. ↑ Iraq emerges as new ‘swing producer’ in Opec
  2. ↑ Russia becomes swing producer in global potash market
  3. ↑ Contemporary Business 2009 Update, by Louis E. Boone, David L. Kurtz, page 72

External links

it:Swing producer


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