For a Cartel to Succeed

question 39

Multiple Choice

For a cartel to succeed,

• A)it does not need the cooperation of a majority of firms in the industry.
• B)there must be free entry of rival firms.
• C)consumers must have alternative products available to satisfy the same need.
• D)no major producer can remain outside the agreement of the cartel.
• E)the industry must have an elastic demand.

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Definitions:

Dissociation

A psychological condition in which there is a disconnection or lack of continuity between thoughts, memories, surroundings, actions, and identity.

Divided Consciousness

A theory in psychology in which the mind splits into different levels of awareness, especially noted during multitasking or hypnosis.

Role-Playing

The act of assuming a role or character different from oneself, often used as a learning tool or in gaming.

Experiment Under Way

An experiment under way indicates a study or research project that has been initiated and is currently in progress, often to test hypotheses or explore new theories.