Developing Countries Have Often Attempted to Establish Cartels So as to Counter

question 14

Essay

Developing countries have often attempted to establish cartels so as to counter the actual or perceived inexorable downward push on the prices of their exported commodities. OPEC is the most well known of these. How are such cartels expected to help the developing countries?
At times importing countries profess support for such schemes. Can you think of any logical basis for such support?
How are cartels like monopolies, and how are they different from monopolies. Why is there a presupposition among economists that such schemes are not likely to succeed in the long run?

---

Definitions:

Sensing

The process of receiving information through the senses, such as sight, hearing, touch, taste, and smell.

Neurons

Nerve cells that are the basic building blocks of the nervous system, responsible for transmitting information throughout the body.

Human Brain

The central organ of the human nervous system, responsible for thought, memory, emotion, touch, motor skills, vision, breathing, temperature, and every process that regulates our body.

Birth

The emergence of a baby or other young from the body of its mother; the start of life as a physically separate being.