Question

Which is unstable form of combination?
(a) Trust
(b) Cartels
(c) (a) & (b)
(d) None of these​

Answer 1

Answer:

Both a and b option is correct means your answer is (c)

Answer 2

Answer : (b) Cartels

Explanation :

The correct answer is (b) Cartels.

A cartel is an association of firms that agree to coordinate their activities in order to achieve a specific goal, such as to fix prices, limit production, or divide up markets. Cartels are considered to be an unstable form of combination because they are illegal in most countries and are often subject to government crackdowns. In addition, the members of a cartel may have incentives to cheat on their agreements and to engage in price cutting and other forms of competition, which can lead to the breakdown of the cartel.

• (a) Trusts - are a form of business combination in which a group of firms join together to form a single enterprise in order to reduce competition and to increase their market power. Trusts are generally considered to be a stable form of combination.

• (c) (a) & (b) - Trusts are stable form of combination and Cartels are considered to be an unstable form of combination, So (c) is not correct.

• (d) None of these - As above answer is (b) Cartels, so (d) is not correct.

To know more about the concept please go through the links :

https://brainly.in/question/47583121

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