A firm is likely to cheat on a cartel when:
a. the amount of sales is small, but each sale has a high value.
b. the amount of sales is large, but each sale has a low value.
c. the demand for output is consistent throughout the year.
d. the production costs are identical for all the firms.
a
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According to your textbook, the benefits of civilization are heavily dependent on
A) accurate numerical estimates by government officials of available resources and of basic consumption requirements. B) agreement among the members of society on the best means for achieving their goals. C) agreement among the members of society on the goals to be pursued. D) government planning for long-run economic growth. E) the ability to induce other people to cooperate.
Briefly describe how the Bretton Woods system worked. What advantages did it have over the gold standard? What problems did the Bretton Woods system eventually encounter?
What will be an ideal response?