If Oligopolists Can Form a Cartel,their Profit-Maximizing Action Is to

question 19

Multiple Choice

If oligopolists can form a cartel,their profit-maximizing action is to

• A) act like monopolists with a number of plants or divisions, each of which is a member firm.
• B) have only the most efficient firm undertake production.
• C) produce at minimum average cost.
• D) allocate sales among the cartel members so that the average cost of each is the same.
• E) dramatically increase production.

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Definitions:

Vocational Institute

An educational establishment that provides specialized training and instruction in particular trades or careers.

Store Managers

Individuals responsible for overseeing the daily operations of a store, including staff management, inventory control, and customer service.

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Companies or individuals that prepare and issue books, journals, music, or other works for sale.

Household Chores

Routine tasks and activities performed in managing a home, such as cleaning, cooking, and maintenance.