An arrangement whereby sellers in a market formally join together to make decisions as a group on pricing and other matters is a:
A) cartel.
B) natural monopoly.
C) bilateral monopoly.
D) regulated monopoly.

Question

Quizplus · Accepted Answer

A cartel is an agreement among competing firms to control prices or exclude entry of a new competitor in a market, often by coordinating their production and pricing decisions. This definition matches the arrangement described in the question.

An Arrangement Whereby Sellers in a Market Formally Join Together