It is more likely for tacit collusion to occur in the _________ market compared to the _________ market.

Question

Quizplus · Accepted Answer

Tacit collusion is more likely in markets with fewer firms, higher entry barriers, and less product differentiation. The electric car market typically has fewer, larger firms and higher entry barriers compared to the fast food market, which has many firms and lower entry barriers, making tacit collusion more feasible in the electric car market.

It Is More Likely for Tacit Collusion to Occur in the _________