If firms in an oligopolistic industry successfully collude and form a cartel, what price and output will result?
A) the monopoly price and output
B) the competitive price and output
C) the monopolistically competitive price and output
D) a price higher than the monopoly price and, because there is more than one firm in the industry, more output than the monopoly amount
E) a price lower than the competitive price and, because there are only a few firms in the industry, less output than the competitive amount
A
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Suppose the required reserve ratio is 10%. If a bank has total reserves of $80,000 and checkable deposits of $550,000, what is the amount of the bank's excess reserves?
A) $25,000 B) $55,000 C) $80,000 D) $250,000
When the survivorship method of cost estimating is used, an increase, over time, in the proportion of industry product produced by medium size firms indicates the existence of
A) continuing economies of scale. B) continuing diseconomies of scale. C) a U-shaped long-run average cost curve. D) large technological changes.