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Which of the Following Statements Is False

Question 1

Multiple Choice

Which of the following statements is false?


A) Anti-trust laws make most cartels illegal in the U.S
B) Formation of a cartel ensures that each firm will earn greater profits than without a cartel
C) Cartels maximize joint profits not individual firm profits
D) Professional sports leagues insure the stability of teams by cooperating through cartel arrangements
E) Cartels are difficult to maintain when cheating is possible

Correct Answer:

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