Other Things Equal, Cartels and Similar Collusive Arrangements Are Easier

question 47

Multiple Choice

Other things equal, cartels and similar collusive arrangements are easier to establish and maintain

• A) when there are ample opportunities for the firms to make secret price concessions to selected buyers.
• B) during periods of business-cycle stability and full employment.
• C) when the demand and cost conditions of the participating firms differ substantially.
• D) when the number of firms is relatively large.

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Definitions:

Relative Risk

The risk a person has for a particular disease compared with the risk of other people who do not have that person’s condition or lifestyle.

Nonsmokers

Individuals who do not smoke cigarettes and are not exposed to the habit of inhaling smoke from combustible tobacco products.

Positive Reinforcer

A stimulus which, when presented after a behavior, increases the likelihood of that behavior being repeated.

Noxious Stimulus

An unpleasant or harmful stimulus that can cause pain or discomfort to an organism.