When deciding on output levels, members of a cartel

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Members of a cartel take into account the impact of changes on members' profits before deciding on output levels. They want to maximize their collective profits, which requires coordinating their production levels. This often involves limiting output to raise prices and profits, which would not be the case in a competitive market and may differ from what a monopolist would do. The MR=MC rule is not necessarily followed by cartels as they are more concerned with total profit than marginal profit.

When Deciding on Output Levels, Members of a Cartel