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According to the Competitive and Consumer/1c! in Australia, cartel is ILLEGAL. A cartel is a collection of rms producing the same (or very similar) product
According to the Competitive and Consumer/1c! in Australia, cartel is ILLEGAL. A cartel is a collection of rms producing the same (or very similar) product that makes an agreement to x prices or split the market (among other things). In this question, we try to understand why. Assume that the market is currently supplied by ten identical sellers each with variable cost VC(q) = 34 + if, and the market demand is D = 10(7 p). Assume that the market demand is sufciently high that no seller shuts down
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