An Agreement Between Two Duopolists to Function as a Monopolist

question 166

Multiple Choice

An agreement between two duopolists to function as a monopolist usually breaks down because

• A) they cannot agree on the price that a monopolist would charge.
• B) they cannot agree on the output that a monopolist would produce.
• C) each duopolist wants a larger share of the market in order to capture more profit.
• D) each duopolist wants to charge a higher price than the monopoly price.

---

Definitions:

Model Gentleness

Exhibiting a mild or kind nature as a positive example for others to follow or imitate.

Adults

Individuals who are considered to be fully grown or developed, typically over the age of maturity which varies among different cultures and legal systems.

Limits

Boundaries or constraints established to define acceptable behavior or actions within a specific context.

Empower

To give power or authority to; enabling individuals or groups to take control of their circumstances and achieve their own goals independently.