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.

---

Definitions:

Lumbar

Referring to the lower part of the spine or lower back region, composed of five vertebrae between the thoracic vertebrae and the sacral region.

Diencephalon

The diencephalon is a region of the brain that includes structures such as the thalamus and hypothalamus, integral to the regulation of various physiological processes.

Brain Stem

The lower part of the brain that connects the cerebrum with the spinal cord and controls vital functions like breathing and heart rate.

Cerebellum

A part of the brain located under the cerebrum, responsible for coordinating voluntary movements and maintaining balance and posture.