OPEC - organization petroleum exporting OPEC - organization petroleum exporting countriescountries

Cold War - USA (United States & Cold War - USA (United States & democracy) vs. USSR (Soviet Union & democracy) vs. USSR (Soviet Union & communism), End of WW2 1945 to communism), End of WW2 1945 to Collapse of Soviet Union 1990Collapse of Soviet Union 1990

NATO (North Atlantic Treaty Organization) NATO (North Atlantic Treaty Organization) – European and North American countries – European and North American countries alliancealliance

Warsaw Pact - USSR and allies Warsaw Pact - USSR and allies

Chapter 28 Chapter 28

The Middle East in the The Middle East in the World TodayWorld Today

OPECOPECOrganization of the Organization of the

Petroleum Petroleum Exporting CountriesExporting Countries

Cartel – group of businesses controlling market: an alliance of business companies formed to control production, competition, and prices

When was OPEC formed? When was OPEC formed?

September 14, September 14, 1960 1960

Who controlled oil output and prices before Who controlled oil output and prices before OPEC?OPEC?

The Seven Sisters Oil CompaniesThe Seven Sisters Oil Companies Standard Oil of New Jersey (Standard Oil of New Jersey (EssoEsso). This later ). This later

became became ExxonExxon, now , now ExxonMobilExxonMobil. . Royal Dutch ShellRoyal Dutch Shell Anglo-Dutch Anglo-Dutch British British Anglo-Persian Oil CompanyAnglo-Persian Oil Company (APOC). It is (APOC). It is

now known solely by the initials now known solely by the initials BPBP. . Standard Oil of New York (Socony). This later Standard Oil of New York (Socony). This later

became became ExxonMobilExxonMobil. . Standard Oil of California (Socal). This became Standard Oil of California (Socal). This became

ChevronChevron. . Gulf OilGulf Oil. A network of stations in the . A network of stations in the

northeastern United States still bears this name. northeastern United States still bears this name. TexacoTexaco. Merged with Chevron in 2001. Texaco . Merged with Chevron in 2001. Texaco

remains as a Chevron brand name. remains as a Chevron brand name. http://en.wikipedia.org/wiki/Seven_Sisters_(oil_companies)http://en.wikipedia.org/wiki/Seven_Sisters_(oil_companies)

Who were the original Who were the original members? Who later joined the members? Who later joined the

organization? organization? 1.1. First, Iran, Iraq, Kuwait, First, Iran, Iraq, Kuwait,

Saudi Arabia, Venezuela. Saudi Arabia, Venezuela.

2.2. Later, Qatar, Indonesia, Later, Qatar, Indonesia, Libya, UAE, Algeria, Libya, UAE, Algeria, Nigeria, Ecuador, GabonNigeria, Ecuador, Gabon

Interactive Map Interactive Map

http://www.opec.org/library/Annual%http://www.opec.org/library/Annual%20Statistical%20Bulletin/interactive/F20Statistical%20Bulletin/interactive/FileZ/worldmapz.htmileZ/worldmapz.htm

What is OPEC’s objective?What is OPEC’s objective?

Coordinate and Coordinate and unify petroleum unify petroleum prices among prices among member countriesmember countries

What role does the United What role does the United States play in OPEC? States play in OPEC?

NONENONE

OPEC by the decadesOPEC by the decades

Three WordsThree Words

1960s1960s

1970s1970s

1980s1980s

1990s1990s

2000s2000s

2010s2010s

What did OPEC do in the What did OPEC do in the 1960s? 1960s?

The 60s were the forming The 60s were the forming years when OPEC tried to years when OPEC tried to establish itself as a world establish itself as a world player in the world oil market. player in the world oil market. It adopted resolutions and It adopted resolutions and policies with the seven major policies with the seven major oil producing companies oil producing companies

What did OPEC do in the What did OPEC do in the 1970s? 1970s?

OPEC rose to international OPEC rose to international prominence. Member countries prominence. Member countries took control of their oil took control of their oil industries. OPEC persevered the industries. OPEC persevered the first two oil price crises set forth first two oil price crises set forth by the Iranian Revolution, 79, by the Iranian Revolution, 79, and the Arab oil embargo, 73. and the Arab oil embargo, 73.

What did OPEC do in the What did OPEC do in the 1980s? 1980s?

OPEC realized cooperation was OPEC realized cooperation was necessary if market stability and necessary if market stability and reasonable prices would be reasonable prices would be achieved in the future. The achieved in the future. The environment became an issue. environment became an issue. The third oil pricing crisis The third oil pricing crisis occurred, 86, when prices occurred, 86, when prices collapsed. collapsed.

What did OPEC do in the What did OPEC do in the 1990s? 1990s?

A fourth crisis was averted when A fourth crisis was averted when output was increased to combat output was increased to combat high rising prices. Environmental high rising prices. Environmental concerns created a buzz about concerns created a buzz about future oil productions. OPEC and future oil productions. OPEC and non-OPEC countries worked non-OPEC countries worked together when the Asian markets together when the Asian markets collapsed in 1998collapsed in 1998

Identify the three major oil Identify the three major oil pricing crises. pricing crises.

Arab oil embargo, 73Arab oil embargo, 73

Iranian Revolution, 79Iranian Revolution, 79

Prices peaked at the beginning of the Prices peaked at the beginning of the decade, before beginning a dramatic decade, before beginning a dramatic decline, 86 decline, 86

The Burj KhalifaThe Burj Khalifa

World’s Tallest Building – 838 meters tall ~ World’s Tallest Building – 838 meters tall ~ 2700 feet tall2700 feet tall

Dubai, UAEDubai, UAE

Opened 2009Opened 2009

Man made islands – palm tree islands, Man made islands – palm tree islands, world islandsworld islands

HomeworkHomework

Page 602Page 602

3, 4, 5, 83, 4, 5, 8

The Middle East The Middle East TodayToday

Chapter 28Chapter 28

Regional and Global IssuesRegional and Global Issues The Cold WarThe Cold War

– The Soviet Union and the United StatesThe Soviet Union and the United States Communism vs. DemocracyCommunism vs. DemocracyControl of waterwaysControl of waterwaysControl of oilControl of oilSupply of Weapons (Nukes)Supply of Weapons (Nukes)

– Battle for TurkeyBattle for TurkeyRussia supplied Turkish rebels; Russia supplied Turkish rebels; US supplied economic and mil. US supplied economic and mil. resourcesresources

Regional and Global IssuesRegional and Global Issues

Battle for Afghanistan -1979Battle for Afghanistan -1979– Soviets invaded Afghanistan to support Soviets invaded Afghanistan to support

communist governmentcommunist government– US supported rebels fighting the US supported rebels fighting the

communist govt.communist govt.– The US did not want communism to The US did not want communism to

spread south and disrupt oil and spread south and disrupt oil and waterway trafficwaterway traffic

– Rise of Al Qaeda in Middle East fighting Rise of Al Qaeda in Middle East fighting against Soviet Unionagainst Soviet Union

Osama bin Laden – Al Osama bin Laden – Al QaedaQaeda

Two Persian Gulf WarsTwo Persian Gulf Wars

Iran Iraq WarIran Iraq War

– Border disputes turned into war Border disputes turned into war when Saddam Hussein captured when Saddam Hussein captured Shatt-al-Arab, a key waterway Shatt-al-Arab, a key waterway for oil between Iran and Iraqfor oil between Iran and Iraq

– Hussein wanted to end Iranian Hussein wanted to end Iranian support of Iraqi Shiitessupport of Iraqi Shiites

Saddam Hussein – President of Saddam Hussein – President of IraqIraq

1979 – 1979 – 20032003

Executed Executed 20062006

Iran Iraq Iran Iraq WarWar

Persian Gulf Persian Gulf War 1990sWar 1990s

Persian Gulf Persian Gulf War 2000sWar 2000s

Two Persian Gulf WarsTwo Persian Gulf Wars Iran Iraq WarIran Iraq War

– More than one million died in the More than one million died in the fightingfighting

– The war lasted from 1980-1988 – The war lasted from 1980-1988 – neither side accomplished their goalsneither side accomplished their goals

– The US & Soviet Union actively The US & Soviet Union actively supported Iraqsupported Iraq

– The US secretly supported IranThe US secretly supported Iran

Two Persian Gulf WarsTwo Persian Gulf Wars

Persian Gulf WarPersian Gulf War

– Saddam invaded Kuwait, he Saddam invaded Kuwait, he believed Kuwait should be part believed Kuwait should be part of Iraq b/c both were part of of Iraq b/c both were part of Ottoman EmpireOttoman Empire

– The international community The international community condemned Iraqcondemned Iraq

Two Persian Gulf WarsTwo Persian Gulf Wars

Persian Gulf WarPersian Gulf War– A UN coalition led by the US A UN coalition led by the US

attacked in Jan. ’91 and Iraq attacked in Jan. ’91 and Iraq surrendered in February ’91surrendered in February ’91

– Iraq suffered huge losses; Saddam Iraq suffered huge losses; Saddam held power after the warheld power after the war

– Al Qaeda turns against west; sees Al Qaeda turns against west; sees western countries as occupierswestern countries as occupiers

ReviewReview

Put in order – from date each beganPut in order – from date each began– Persian Gulf WarPersian Gulf War– Forming of OPECForming of OPEC– Operation Iraqi FreedomOperation Iraqi Freedom– Iran-Iraq WarIran-Iraq War– Cold WarCold War

Identify – Shatt-al-ArabIdentify – Shatt-al-Arab

Arab-Israeli Arab-Israeli ConflictConflict

Arab Nationalism vs. Jewish Arab Nationalism vs. Jewish NationalismNationalism

Arab-Israeli Arab-Israeli ConflictConflict

Arab Nationalism vs. Jewish Arab Nationalism vs. Jewish NationalismNationalism

Intro Page 622Intro Page 622

2-62-6

Golan Heights – Golan Heights – border between Israel & border between Israel & SyriaSyria

West Bank – West Bank – the the Jordan RiverJordan River

Jerusalem – Jerusalem – Capital of Capital of IsraelIsrael

Gaza Strip – west Gaza Strip – west IsraelIsrael

Sinai Peninsula – Sinai Peninsula – border between Egypt border between Egypt & Israel& Israel

Arab Israeli ConflictArab Israeli Conflict

True-FalseTrue-False– Jews believe Israel was promised to them Jews believe Israel was promised to them

by Godby God– Arabs believe Palestine is their homeland Arabs believe Palestine is their homeland

because they have lived there for because they have lived there for centuriescenturies

– Arabs and Jews have been fighting over Arabs and Jews have been fighting over this land for thousands of yearsthis land for thousands of years

– Jerusalem is a holy city for Jews, Jerusalem is a holy city for Jews, Christians, and MuslimsChristians, and Muslims

– Israel was founded after World War IIIsrael was founded after World War II

Arab Israeli Arab Israeli ConflictsConflicts

1948 War1948 War 1967 War – 6 Day 1967 War – 6 Day

WarWar 1973 War – Yom 1973 War – Yom

Kippur WarKippur War IntifadaIntifada AssassinationsAssassinations

Camp David – Camp David – 1970s1970s– US President Jimmy US President Jimmy

CarterCarter

Oslo Accords – Oslo Accords – 1990s1990s– US President Bill US President Bill

ClintonClinton

Arab Israeli Arab Israeli Peace EffortsPeace Efforts

Palestinian Palestinian nationalism nationalism grew with grew with

general Arab general Arab nationalism in nationalism in the Ottoman the Ottoman

EmpireEmpire

Nationalism in Nationalism in Europe Europe

stimulated stimulated ideas for a ideas for a

Jewish nation.Jewish nation.

1897: 1897: Theodore Herzl Theodore Herzl

founded the founded the World Zionist World Zionist Organization Organization

(WZO)(WZO)

ZionismZionism: the : the movement to movement to

create a create a Jewish nation Jewish nation in Palestinein Palestine

TheodorTheodore Herzl e Herzl

The Zionists The Zionists encouraged encouraged

Jewish Jewish settlement in settlement in

PalestinePalestine

The Zionist The Zionist threat helped threat helped define them define them as separate as separate nationalistsnationalists

Despite much Despite much Arab Arab

opposition, opposition, most of the most of the

land was land was purchased from purchased from

Arab ownersArab owners

Palestine: Palestine: British mandate British mandate

after WWI after WWI

1917: 1917: The The Balfour Balfour

DeclarationDeclaration (page 587- last (page 587- last

paragraph)paragraph)

Hatred and Hatred and distrust grew distrust grew

between Arabs between Arabs and Jews under and Jews under British controlBritish control

The 1936-The 1936-1939 Arab 1939 Arab Palestinian Palestinian

Revolt was a Revolt was a turning point.turning point.

Haganah, a Haganah, a defense force, defense force,

was formed was formed against Arab against Arab

violence.violence.

By 1936 it By 1936 it had 40,000 had 40,000

troopstroops

England, England, caught caught

between Arabs between Arabs and Jews, and Jews, restricted restricted

immigration.immigration.

The Holocaust The Holocaust united Jews (esp. united Jews (esp. the U.S.) for the the U.S.) for the idea of a Jewish idea of a Jewish state and WWII state and WWII weakened the weakened the

British.British.

1946: Irgun 1946: Irgun bombed the bombed the King David King David Hotel, the Hotel, the

British military British military headquarters.headquarters.

90 90 people people were were killedkilled

The British The British decided to decided to

leave and turn leave and turn over the over the

problem to problem to the U.N.the U.N.

The U.N. The U.N. Partition Plan Partition Plan

1947 1947 Palestine divided Palestine divided between the Jews between the Jews

and the Arabs; and the Arabs; Jerusalem Jerusalem

internationalizedinternationalized

The Jews The Jews accepted accepted

the the partition.partition.

1948: David 1948: David Ben-Gurion Ben-Gurion announced announced

Israel’s Israel’s independenceindependence

The Arabs The Arabs rejected the rejected the

partition. Egypt, partition. Egypt, Lebanon, Jordan, Lebanon, Jordan, Syria, and Iraq Syria, and Iraq

attacked.attacked.

War for Israeli War for Israeli IndependenceIndependence

19481948 Israel defeated Israel defeated

ArabsArabs

Three More Three More WarsWars War in the Sinai (1956)War in the Sinai (1956) - Raids and reprisals between - Raids and reprisals between

the Arabs and Israel, and Egypt's seizure of the Suez the Arabs and Israel, and Egypt's seizure of the Suez Canal, led to Israel's invasion of the Sinai Peninsula. Israel Canal, led to Israel's invasion of the Sinai Peninsula. Israel withdrew in 1957 after its access to the Persian Gulf was withdrew in 1957 after its access to the Persian Gulf was guaranteed by the United Nations.guaranteed by the United Nations.

Six Day War (1967 War): Six Day War (1967 War): Israel captured Sinai Israel captured Sinai Peninsula, Golan Heights, the West Bank, the Old City of Peninsula, Golan Heights, the West Bank, the Old City of Jerusalem (which Israel later annexed), and Gaza. The war Jerusalem (which Israel later annexed), and Gaza. The war ended by a U.N.-arranged cease-fire. The United States ended by a U.N.-arranged cease-fire. The United States called on the Israelis to withdraw from occupied territories called on the Israelis to withdraw from occupied territories but did not specify how much land it should give up.but did not specify how much land it should give up.

Yom Kippur War (1973)Yom Kippur War (1973) - Egypt and Syria launched a - Egypt and Syria launched a joint attack on Israel on the Jewish holy day, Yom Kippur, joint attack on Israel on the Jewish holy day, Yom Kippur, to regain lost territory. Caught off-guard, Israel took to regain lost territory. Caught off-guard, Israel took several days to mobilize, suffering heavy casualties, but it several days to mobilize, suffering heavy casualties, but it forced the opposition back. Establishes Israel as the forced the opposition back. Establishes Israel as the dominant military power in the region dominant military power in the region

Ben-Gurion Ben-Gurion became became

Israel’s first Israel’s first prime prime

minister.minister.

Israel became Israel became a multi-party a multi-party parliamentary parliamentary democracy.democracy.

1958-1960 1958-1960 Arafat founded Arafat founded

FatahFatah: The : The Palestinian Palestinian

National National Liberation Liberation MovementMovement

1964: 1964: Palestinian Palestinian Liberation Liberation

Organization Organization (PLO) is (PLO) is founded.founded.

19701970

19741974

2004: 2004:

ArafaArafat Diedt Died

Mahmoud Mahmoud AbbasAbbas

became the became the next leader of next leader of

the PLOthe PLO

Camp David Accords Camp David Accords 19791979

U.S. President Jimmy Carter, Israeli Prime U.S. President Jimmy Carter, Israeli Prime Minister Menachem Begin, Egyptian Minister Menachem Begin, Egyptian President Anwar Sadat.President Anwar Sadat. Egypt and Israel Egypt and Israel signed the first peace treaty between Israel signed the first peace treaty between Israel and an Arab nation. It formally ended the and an Arab nation. It formally ended the state of war that had existed between them state of war that had existed between them for 30 years. In return for Egypt's for 30 years. In return for Egypt's recognition of Israel's right to exist, Israel recognition of Israel's right to exist, Israel returned the Sinai Peninsula. The two returned the Sinai Peninsula. The two nations also formally established diplomatic nations also formally established diplomatic relations. relations.

Oslo AccordsOslo Accords 1993 1993 Secret negotiations between Israel and the Secret negotiations between Israel and the

PLO resulted in a treaty that included mutual PLO resulted in a treaty that included mutual recognition, limited self-rule for Palestinians recognition, limited self-rule for Palestinians

Arafat and Israeli Prime Arafat and Israeli Prime Minister Yitzhak Rabin Minister Yitzhak Rabin agreed to work towards agreed to work towards a Palestinian statea Palestinian state

IdentificationsIdentifications

OPECOPECRefugeeRefugeeIntifadaIntifadaOccupied Occupied

territoriesterritories

Camp David Camp David AccordsAccords

Oslo AccordsOslo AccordsNationalismNationalismShatt-al-ArabShatt-al-Arab

Arafat and Arafat and Rabin were Rabin were

awarded the awarded the Nobel Peace Nobel Peace

PrizePrize

““Road Map” to Road Map” to Peace 2003Peace 2003

A plan developed by the A plan developed by the European Union, Russia, UN, European Union, Russia, UN, and United States and and United States and presented to the Palestinian presented to the Palestinian Authority and the Israeli Authority and the Israeli government. A three phase government. A three phase peace process that culminates peace process that culminates with the creation of a with the creation of a Palestinian state.Palestinian state.

2005: Israel 2005: Israel began began

removing all removing all Jewish settlers Jewish settlers

from the from the occupied occupied

territories territories (Gaza)(Gaza)

In 2006 Fatah In 2006 Fatah lost elections lost elections for the PA to for the PA to the Islamic the Islamic

fundamentalist fundamentalist party Hamas party Hamas

Abbas Abbas dismissed the dismissed the

Hamas Hamas government government and currently and currently

rules by decreerules by decree

Remaining Issues to Remaining Issues to PeacePeace

Control of JerusalemControl of JerusalemPalestinian Statehood (Borders)Palestinian Statehood (Borders)Palestinian Refugees Right to Palestinian Refugees Right to

returnreturn Jewish Settlements in the West Jewish Settlements in the West

Bank Bank TerrorismTerrorism