North Mining Company and South Excavation Company-rival firms-agree to abide by the decisions of East Coast Financial Corporation as to their respective levels of production, markets, and prices, effectively reducing competition and increasing profits. This is most likely

Question

Quizplus · Accepted Answer

The agreement between the rival firms to abide by the decisions of a third party in matters of production, markets, and prices can be seen as an illegal restraint on trade, as it effectively eliminates competition and creates a monopoly or oligopoly situation in the market. Such agreements are typically viewed as antitrust violations and are not considered legal.

North Mining Company and South Excavation Company-Rival Firms-Agree to Abide