By belonging to a cartel,a firm can guarantee that its individual profit will be greater than if it engaged in competition.

Name: By belonging to a cartel,a firm can guarantee that its individual profit will be greater than if it engaged in competition.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

While a cartel aims to increase members' profits by setting prices or limiting supply, it cannot guarantee higher individual profits due to risks of cheating within the cartel, regulatory actions, or changes in market demand.

By Belonging to a Cartel,a Firm Can Guarantee That Its