All Out of Lunch 3OPEC has used oil as a weapon in the past. OPEC’s personality has been forged from the resultsof greed and war. Nicolas Sarkis notes regarding the United States support of Israel during the Six Daywar of 1967, scorned the OPEC countries to such a degree that “Opec takes advantage of the situationafter the June 1967 Arab-Israeli war, and of a supply shortage, to force the western companies to agreeto end oil price discounting” (Sarkis, 2006, OPEC’s Influence). Remembering the oil embargo of 1973leaves a bitter taste in the mouth of those who endured it, which resulted in long lines at the gas pumps.Sarkis explains further on the embargo resulting from the 1973 Arab-Israeli war, “Arab producers placean embargo on countries that they regard as pro-Israeli (the United States and the Netherlands)” (Sarkis,2006, OPEC’s Influence). Additionally author Lauren Levy reiterates this point on the 1973 war byadding, “OPEC used oil to pressure the United States not to aid Israel’s war effort. Only two days intothe war OPEC members (led by Iran and Saudi Arabia) demanded a 100 percent increase in posted prices” (Levy, 2007, OPEC).OPEC currently monopolizes approximately 42% (This figure is slightly volatile and sofluctuates often) of the world’s oil production and controls about two thirds of the world’s oil reserves.When OPEC speaks everyone in the oil and investment world listens. When OPEC announces a cut in production levels, the price of oil will begin to rise, this statement is not an ambiguous one, according toOPEC’s own website, in the “frequently asked questions” section, note OPEC’s own response to thequestion: “Does Opec control the oil market?” note the contradiction, OPEC responds, “No, …However, OPEC’s oil exports represent about 51 percent of the crude oil traded internationally.Therefore OPEC can have a strong influence on the oil market, especially if it decides to reduce or increase its level of production” (OPEC, 2007).