Collusive Control Over Price May Permit Oligopolists to

question 51

Multiple Choice

Collusive control over price may permit oligopolists to

• A) use new technology, achieve economies of scale, and get government subsidies.
• B) achieve economies of scale, reduce costs, and prevent price cheating.
• C) increase product demand, increase product supply, and lower cost.
• D) reduce uncertainty, increase profits, and possibly limit entry of new firms.

---

Definitions:

Payee

The person or company to whom the check is payable.

Drawer

Person who writes a check.

Maker

One promising to pay a note.

Promissory Note

A financial document constituting a written promise to pay a specified sum of money to a designated party on demand or at a predetermined date.