Cartel agreements are difficult to maintain because individual members:
a. can gain by raising their price above the price that is best for the cartel.
b. are often unable to police the price and output policies of other members.
c. can gain by secretly raising their price above the price that is best for the cartel.
d. can enforce price arrangements vigorously in court.
b
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A game in which the players neither negotiate nor coordinate in any way is a
A) cooperative game. B) noncooperative game. C) zero-sum game. D) negative-sum game.
If the firm in the given graph were to produce Q2 and charge P2, then:
These are the cost and revenue curves associated with a firm.
A. economic profit would be negative.
B. deadweight loss would be positive.
C. producer surplus would be zero.
D. profits would be maximized.
Refer to the information provided in Figure 7.11 below to answer the question(s) that follow. 
Figure 7.11
Refer to Figure 7.11. If the isocost line represents a total cost of $7,200, the firm's cost of capital is ________ per unit and its cost of labor is ________ per unit.
A. $36; $72 B. $144; $72 C. $72; $36 D. $200; $100
If the government provides universal health insurance, what screening process will the government need?
A) It won't need a screening test. B) It will only give health insurance to non-smokers. C) It won't use screening tests but it will use statistical discrimination. D) It won't use screening tests but it will use signals.