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A cartel is ________
  • a)
    A consortium of consumers
  • b)
    An organization that sells oil
  • c)
    An institution that creates price ceilings
  • d)
    A group of producers who mutually agree to limit their production, in order to sustain a price floor.
Correct answer is option 'D'. Can you explain this answer?
Verified Answer
A cartel is ________a)A consortium of consumersb)An organization that ...
  • cartel is a group of producers who mutually agree to limit their production, in order to sustain a price floor.
  • Cartels are created when a few large producers decide to co-operate with respect to aspects of their market.
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A cartel is ________a)A consortium of consumersb)An organization that sells oilc)An institution that creates price ceilingsd)A group of producers who mutually agree to limit their production, in order to sustain a price floor.Correct answer is option 'D'. Can you explain this answer?
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