This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: What happens to the market outcome if cartel members cheat on the collusive agreement? A) Price ... (Read 63 times)

jilianpiloj

  • Hero Member
  • *****
  • Posts: 521
on: Jul 1, 2018
What happens to the market outcome if cartel members cheat on the collusive agreement?
 
  A) Price declines, but firm-level quantities remain the same because the firms act like price takers
  B) Price and quantity revert to the single-seller monopoly equilibrium outcome
  C) Other firms raise prices so that the average market price remains unchanged
  D) Price declines and quantity increases toward the perfectly competitive equilibrium

Question 2

A bilateral monopoly is characterized by a market with a single buyer and a single seller. Which factor is most likely to determine the market outcome in this situation?
 
  A) Share of total costs that are fixed
  B) Degree of demand elasticity
  C) Degree of supply elasticity
  D) Bargaining power of the firms


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

juicepod

  • Sr. Member
  • ****
  • Posts: 310
Reply #1 on: Jul 1, 2018
Answer to Question 1

D

Answer to Question 2

D


jilianpiloj

  • Member
  • Posts: 521
Reply 2 on: Jul 1, 2018
Great answer, keep it coming :)

ashely1112

  • Member
  • Posts: 347
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

In most climates, 8 to 10 glasses of water per day is recommended for adults. The best indicator for adequate fluid intake is frequent, clear urination.

Did you know?

As the western states of America were settled, pioneers often had to drink rancid water from ponds and other sources. This often resulted in chronic diarrhea, causing many cases of dehydration and death that could have been avoided if clean water had been available.

Did you know?

Nearly 31 million adults in America have a total cholesterol level that is more than 240 mg per dL.

Did you know?

To combat osteoporosis, changes in lifestyle and diet are recommended. At-risk patients should include 1,200 to 1,500 mg of calcium daily either via dietary means or with supplements.

Did you know?

The liver is the only organ that has the ability to regenerate itself after certain types of damage. As much as 25% of the liver can be removed, and it will still regenerate back to its original shape and size. However, the liver cannot regenerate after severe damage caused by alcohol.

Parasitic members of the supergroup Excavata. Parasitic members of the supergroup Excavata.
Nursing sensitive outcome Nursing sensitive outcome
Walter Thompson saw his assets evaporate during the stock market collapse in 1929. Desperate for ... Walter Thompson saw his assets evaporate during the stock market collapse in 1929. Desperate for ...
Resemblances in psychological traits among family members can be used to tease apart the ... Resemblances in psychological traits among family members can be used to tease apart the ...
Members of Sierra Leonean Diaspora Community in London Members of Sierra Leonean Diaspora Community in London
Markets and Institutions Market Story Problem Markets and Institutions Market Story Problem
Video: Cellular defenses (natural killer cells, phagocyte types & process of phagocytosis)

For a complete list of videos, visit our video library