This topic contains a solution. Click here to go to the answer

Author Question: Cartels are typically subject to cheating by their members because A) if the other firms stick to ... (Read 96 times)

EY67

  • Hero Member
  • *****
  • Posts: 531
Cartels are typically subject to cheating by their members because
 
  A) if the other firms stick to the agreement, a firm can increase its profits by cutting its price.
  B) barriers to entry do not exist so new entrants will join.
  C) the U.S. Justice Department will punish any cartel agreement before the cartel has had a chance to operate.
  D) product differentiation allows the firms in the cartel to cheat.

Question 2

Paul's monthly income decreased from 2,500 to 2,300. As a result, he decreased the number of DVDs he rents per month from 5 to 4. Paul's demand for DVD rentals is
 
  A) price elastic.
  B) price inelastic.
  C) income elastic.
  D) income inelastic.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

brittrenee

  • Sr. Member
  • ****
  • Posts: 321
Answer to Question 1

A

Answer to Question 2

C




EY67

  • Member
  • Posts: 531
Reply 2 on: Jun 29, 2018
Great answer, keep it coming :)


isabelt_18

  • Member
  • Posts: 342
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

Did you know?

The most dangerous mercury compound, dimethyl mercury, is so toxic that even a few microliters spilled on the skin can cause death. Mercury has been shown to accumulate in higher amounts in the following types of fish than other types: swordfish, shark, mackerel, tilefish, crab, and tuna.

Did you know?

The toxic levels for lithium carbonate are close to the therapeutic levels. Signs of toxicity include fine hand tremor, polyuria, mild thirst, nausea, general discomfort, diarrhea, vomiting, drowsiness, muscular weakness, lack of coordination, ataxia, giddiness, tinnitus, and blurred vision.

Did you know?

Anesthesia awareness is a potentially disturbing adverse effect wherein patients who have been paralyzed with muscle relaxants may awaken. They may be aware of their surroundings but unable to communicate or move. Neurologic monitoring equipment that helps to more closely check the patient's anesthesia stages is now available to avoid the occurrence of anesthesia awareness.

Did you know?

The first oncogene was discovered in 1970 and was termed SRC (pronounced "SARK").

Did you know?

This year, an estimated 1.4 million Americans will have a new or recurrent heart attack.

For a complete list of videos, visit our video library