All of the following are problems associated with maintaining a cartel except that:
a. cartels are illegal.
b. a large amount of information is needed to coordinate a cartel.
c. profits are not maximized by a cartel so it will evolve into a monopoly.
d. each member of the cartel has an incentive to "chisel" by expanding output.
c
Economics
You might also like to view...
Which of the following expenditures is classified as a discretionary expenditure of the U.S. federal government?
A) federal employee pensions B) student loans and grants C) Social Security D) food stamps
Economics
Growth in a production possibilities curve diagram is shown as: a. a movement along the curve to the southeast. b. a movement along the curve to the southwest. c. an outward shift of the curve
d. an inward shift of the curve.
Economics