Suppliers would be the most eager to organize to restrict output if they faced:
A) an inelastic demand.
B) an elastic demand.
C) a unit-elastic demand.
D) a perfectly elastic demand.

Question

Quizplus · Accepted Answer

Suppliers would be most eager to restrict output if they faced an inelastic demand because reducing supply would lead to a higher price and increased total revenue, as consumers are less sensitive to price changes.

Suppliers Would Be the Most Eager to Organize to Restrict