Price visibility can work both for and against tacit collusion.

Name: Price visibility can work both for and against tacit collusion.
Brand: Quizplus
Rating: 4.8 (47 reviews)

Question

Quizplus · Accepted Answer

When prices are publicly visible, firms may be more likely to reach a tacit agreement because they can monitor each other's prices and detect any deviations. However, visible prices may also discourage tacit collusion because they increase the likelihood of antitrust scrutiny and consumer backlash against any perceived price-fixing.

Price Visibility Can Work Both for and Against Tacit Collusion