1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Natali [406]
3 years ago
6

Suppose a third firm enters the market. If they all don't cheat, then they split the profits three ways so that each firm gets 2

million. If one firm cheats, he steals profits from the other two firms and earns 5.5 million while the other firms incur losses of 1 million. Will it be harder or easier to sustain cooperation?
Business
1 answer:
dmitriy555 [2]3 years ago
7 0

Answer: Harder to sustain cooperation

Explanation:

When the number of firms in an oligopolistic market increases as is the case here, cooperation becomes harder because profits become smaller so companies start to become more selfish.

Also in this scenario, the cheating firm has the incentive to do so because the profit is so much higher than sharing so companies will always be looking to cheat in order to make this profit. The other firms would reply by reducing prices and all of them would suffer.

You might be interested in
Sally is a channel manager for the Carolina Bee Company, which offers bee
Yuliya22 [10]

Answer:

it might be B but I'm not sure

7 0
2 years ago
Which one of the following is not a primary component of an internal control system?
Bond [772]

The following is not a primary component of an internal control system <u>Control environment .</u>

<u />

The primary cause of inner controls is to assist safeguard an corporation and further its objectives. internal controls characteristic to limit risks and shield property, make certain accuracy of facts, sell operational efficiency, and inspire adherence to policies, rules, regulations, and legal guidelines.

Internal controls are techniques designed to help guard an enterprise and limit danger to its objectives. inner controls decrease risks and guard belongings, ensure accuracy of statistics, sell operational performance, and encourage adherence to policies, policies, policies, and laws.

Determining whether a specific internal manage machine is effective is a judgement because of an assessment of whether the five additives - manage surroundings, risk assessment, manage sports, information and communique, and tracking - are present and functioning.

Learn more about Internal controls here

brainly.com/question/26398073

#SPJ4

5 0
1 year ago
KL Airlines paid an annual dividend of $1.18 a share last month. The company is planning on paying $1.50, $1.75, and $1.80 a sha
True [87]

Answer:

the correct answer is $14.71

good luck

7 0
3 years ago
Your job pays you $1,600 per month.all taxes combined reduce your pay by 25%.your current expenses are $1,200 per month .you wan
Reil [10]
No you can not afford it

1600•0.25= 400
1600-400=1200
1200-1200=0
6 0
3 years ago
A cut in tax rates effects equilibrium real GDP through two​ channels: ________ disposable income and consumer​ spending, and​ _
Paha777 [63]

Answer:

increases; increases

Explanation:

A cut in tax rate has numerous advantages and disadvantage to the economy both in long-run and short-run. A cut in tax rates increases the discretionary cash flow of people, which drives them to expand their utilisation spending. A cut in charge rates increment the size of the multiplier impact

3 0
3 years ago
Other questions:
  • Ronnie operates a lawn-care service. On each day, the cost of mowing the first lawn is $15, the cost of mowing the second lawn i
    11·2 answers
  • Which of the following describes what a computer programmer does?
    11·1 answer
  • The Johnson Family is looking to buy a new house on Belmont Road. Their insurance deductible is increased by $500 if they live m
    11·1 answer
  • What is the opportunity cost?
    9·2 answers
  • Martha is walking from her office building to her car in a torrential downpour with an umbrella manufactured by Umbrellas USA, I
    7·1 answer
  • . A business cycle is the a. period of time in which expansion and contraction of economic activity are equal. b. period of time
    6·1 answer
  • How do managers decide upon an ethical course of action when confronted with decisions pertaining to working conditions, human r
    14·1 answer
  • What are the effects of rapid inflation?
    9·1 answer
  • The trial balance of Blues Traveler Corporation does not balance.
    6·1 answer
  • Researching and planning are important aspects of choosing a career because they
    10·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!