Author Question: Government failure means that government action reduces market efficiency. Indicate whether the ... (Read 106 times)

mpobi80 · **on:** Jun 30, 2018

Government failure means that government action reduces market efficiency.
Indicate whether the statement is true or false

Question 2

Cartels are thought to be inherently unstable because:
a. the costs of enforcing cartel agreements are very low.
b. each cartel member can privately profit from increasing production beyond agreed-upon levels.
c. customers force cartel members to increase production and reduce prices.
d. cartel agreements are legally binding and can be upheld in court.