Instability

Duh:

DUBAI, United Arab Emirates - With oil prices above $70 a barrel fouling the world economy, dismay is focusing on Iraq, whose exports have slipped to their lowest levels since the 2003 invasion.

"Iraq could be making a tremendous difference," said Dalton Garis, an economist at the Petroleum Institute in Abu Dhabi. Instead, its shortfall is "a significant contributing factor to the high price of oil," he said.

Iraq, a founding member of OPEC, sits atop the world's third-highest proven reserves. Its estimated 115 billion barrels is more than any other OPEC member except for Saudi Arabia and
Iran.

But contrary to optimistic expectations, Iraq's oil production has slipped further and further since the U.S.-led invasion, to an average of 2 million barrels a day. It has never regained even the reduced production levels that prevailed in the 1990s, when Iraq was under tough U.N. sanctions.