The Sugar Industry in Canada Is Effectively a Duopoly with Two

The sugar industry in Canada is effectively a duopoly with two large firms competing with each other for market share.Suppose the two firms collude and successfully restrict joint output to that of a profit- maximizing monopolist.As a result,they each realize an increase in their profits.Why would this collusive agreement be difficult to sustain?

A) Because each firm has an incentive to break the agreement by increasing output in order to increase their own profits.
B) Because a non- cooperative outcome is inevitable in which output is further restricted and each firm's profit is reduced.
C) Because each firm has an incentive to break the agreement by further restricting output in order to increase the price,thereby increasing their own profits.
D) Because the firm with the lower long- run average costs will be able to capture all sales,driving the second firm out of the market.