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Neoclassical Economists Argue That Cartels Will Eventually Break Apart Because

Question 21

Multiple Choice

Neoclassical economists argue that cartels will eventually break apart because


A) individual producers will have an incentive to charge higher prices in order to attract more customers.
B) individual producers will have an incentive to produce more in order to take advantage of higher prices.
C) individual producers will have an incentive to charge higher prices in order to increase profits.
D) cartels are now illegal in all countries.

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