
-If firms in an oligopolistic industry successfully collude and form a cartel, what price and output will result?
A) The competitive price and output.
B) The monopolistically competitive price and output.
C) A price lower than the competitive price and, because there are only a few firms in the industry, less output than the competitive amount.
D) A price higher than the monopoly price and, because there is more than one firm in the industry, more output than the monopoly amount.
E) The monopoly price and output.
Correct Answer:
Verified
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