This week saw the price of Brent crude oil fall below $50 per barrel as prices hit their lowest level since major oil producers signed a deal to cut production by 1.8 million barrels per day in November. Even though major oil producers have cut oil production sharply, greater production from the United States' shale basins, which has increased by 200,000 barrels per day since the beginning of March alone, and the return of more Libyan oil production have added resistance to OPEC's strategy. Nonetheless, an extension will not substantially increase oil prices, and many oil producers will continue to need to implement fiscal adjustments to oil prices between $40 and $60 per barrel in the long term....
