As the number of substitutes for a good increases, its own-price elasticity becomes more

Which of the following probably has the highest start-up costs?

a. a restaurant belonging to a fast-food chain b. a feature-length motion picture production by a major studio c. a bookstore that specializes in travel books d. a theatrical production by a local theater group

Which of the following is TRUE regarding a collusive agreement? I. It is illegal in the United States. II. Two or more producers agree to restrict output or raise prices. III. Firms' profits are never maximized under this sort of agreement

A) I and II B) I and III C) II and III D) I, II and III