8. Cartel

Question 1

a market situation which is considered amoral. Here, agreements among competitors often raise antitrust suspicions .

Answer 1

Oligopoly

Question 2

Another venue for price-fixing is ______

Answer 2

Oligopoly market

Question 3

It is highly concentrated and composed of relatively small but powerful number of firms.

Answer 3

Oligopoly

Question 4

Through explicit agreements these small firms, also known as _____, can set prices at highly profitable levels that restrict competition.

Answer 4

cartel

Question 5

An effective ________ can distort the allocation of resources by leading to higher prices and lower rates of outputs that could prevail under competition”

Answer 5

price conspiracy

Question 6

Causing an artificial shortage, and a contributing factor on a economic crisis called ______

Answer 6

Stagflation

Question 7

T/F: The presence of oligopoly can be seen during the emergence of computers.

Answer 7

T

Question 8

The rice cartel violated the most fundamental rights and many more ethical standards. If human rights are meant to enable the individual to choose freely whether to pursue certain interests or to protect those choices, then the cartel certainly violates the _________

Answer 8

Rights basic to humanity

Question 9

The high prices the cartel charges the consumers and low farm-gate prices they set which enable them to reap huge profits also violate the ethical concept of ________

Answer 9

commutative justice

Question 10

The _________ in the supply-demand analysis is the only level wherein buyers and sellers receive equal value to what they contribute.

Answer 10

natural equilibrium level

Question 11

T/F: Prices that the cartel charges the consumers are higher than the equilibrium prices, which means, consumers pay more than what the goods are really worth.

Answer 11

T