If a cartel seeks to maximize profits,the market share (or quota)for each firm should be set at a level such that the ____ of all firms is identical.
A) average total cost
B) average profit
C) marginal profit
D) marginal cost
E) marginal revenue

Question

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In a cartel aiming to maximize profits, the market share or quota for each firm should be set so that the marginal cost (MC) of all firms is identical. This ensures that the total output is produced at the lowest possible cost, maximizing the cartel's combined profits.

If a Cartel Seeks to Maximize Profits,the Market Share (Or