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When Firms in an Illegal Market Form a Cartel,_____

Question 10

Multiple Choice

When firms in an illegal market form a cartel,_____.


A) they are able to supply higher quality products
B) it becomes more difficult for police to detect their activities
C) they are able to increase profits by behaving as a monopolist
D) they result in a deadweight loss
E) they rely on goodwill to ensure the stability of the cartel

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