In a Cartel

question 46

Multiple Choice

In a cartel,

• A)all firms produce the same amount of output and earn the same profit
• B)all firms produce the same amount of output but earn different amounts of profit because their costs differ
• C)firms produce different amounts of output but earn the same profit
• D)firms with higher average cost produce more so that all firms earn the same profit
• E)firms with lower average cost often earn higher profits

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