187k views
2 votes
A ___ is an association of producers that control supply and prices.

A- independent agent
B- foreign direct investment
C- cartel
D- quota

User EhTd
by
5.1k points

1 Answer

7 votes

Answer: Cartel

Step-by-step explanation:

A Cartel is an association of producers that control supply and prices. A cartel is a group of apparently independent producers whose goal is to increase their collective profits by fixing prices, controlling supply and other practices that restrict the output from reaching the equilibrium level. Thus, the prices are maintained high by restricting supply which enables the produces to earn high profits.

User SimplyAzuma
by
5.6k points