Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Non Competitive markets

Question:
A cartel surely exists in
Options:
Monopolistic competition
Collusive oligopoly
Non collusive oligopoly
None of the above
Correct Answer:
Collusive oligopoly
Explanation:
In a collusive oligopoly, firms collude to form a cartel and then decide an output quota and price.