Which Would Make It Easier to Maintain an Effective Collusive

question 175

Multiple Choice

Which would make it easier to maintain an effective collusive agreement in a cartel?

• A) The emergence of a number of potential entrant firms
• B) A decrease in the elasticity of demand for the cartel's product
• C) An increase in the number of substitutes for products produced by the cartel
• D) A new method of pricing that makes it more difficult for firms in the cartel to determine the prices at which other cartel members are selling their product

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