The owners of professional sports teams, such as those in the NFL, make collective decisions and agreements about sharing merchandising and television revenue, adding or disallowing expansion teams, and the scheduling of games. These decisions and agreements reflect that of a
A) monopoly
B) cartel
C) conglomerate firm
D) vertical merger
E) competitive industry

Question

Quizplus · Accepted Answer

The actions described—collective decisions on revenue sharing, expansion, and scheduling—mirror the behavior of a cartel, where independent entities collaborate to control prices, production, or marketing of goods and services, rather than competing against each other.

The Owners of Professional Sports Teams, Such as Those in the NFL