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A Cartel Is a Group of Suppliers Who Try to Create

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A cartel is a group of suppliers who try to create greater competition among their industry.


Definitions:

Tangent

A straight line that touches a curve at a single point without crossing it at that point.

Long-run Equilibrium

A state in a market where all firms are making normal profits, with no incentives for entry or exit, and all factors of production are variable.

Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity demanded by consumers.

Long Run

A period of time in which all factors of production and costs are variable, allowing companies to adjust to market changes.

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