Match List I with List II

LIST I		LIST II
A	Price maker	I. Price of output is fixed
B	Price taker	II. Jointly determine the price by the firm
C	Collusion	III. Ability to influence the price of output
D	Cartel	IV. Several firms decide one price

Correct option is A

The correct answer is (A) A-III, B-I, C-II, D-IV

Explanation:
• Price Maker (A) refers to a firm (like a monopolist) that has the power to influence the market price (III).
• Price Taker (B) refers to a firm in perfect competition that must accept the prevailing market price as fixed (I).
• Collusion (C) is an agreement between firms to jointly determine prices or output to increase profits (II).
• Cartel (D) is a formal organization of producers that agree to coordinate prices and production (IV), such as OPEC.

Information Booster:
• In perfect competition, there are so many buyers and sellers that no single actor can influence the price.
• Monopoly and Oligopoly are market structures where firms often act as price makers.

Additional Knowledge:
• Collusion is often illegal in many countries under anti-trust or competition laws because it harms consumers by keeping prices artificially high.
• A 'natural monopoly' occurs when the costs of production are minimized by having a single firm produce the total output.