The success of a cartel rests upon
A) inducing all members to limit their combined output and charge the same price.
B) inducing all members to differentiate their products and charge different prices.
C) making exit from the cartel as nearly costless as possible.
D) discouraging some firms in the market from joining.
Answer: A
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Checkable deposits are money because
A) they are protected by the Federal Reserve. B) they are guaranteed by banks. C) checks bounce when there are not enough funds to cash them. D) they can be converted into currency on demand and are used directly as a means of payment. E) only banks and other financial institutions can offer them.
Imposing tariffs in cases of dumping
A) is allowed under the WTO agreement. B) is not allowed under the WTO agreement. C) has never occurred, even though it is allowed under the WTO agreement. D) is not addressed by the WTO agreement.