When all firms in the industry charge the same price, this is evidence of collusion. Explain.

Name: When all firms in the industry charge the same price, this is evidence of collusion. Explain.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The fact that all firms in the industry charge the same price does not necessarily indicate collusion. Prices can converge due to factors such as competition, cost structures, market demand, or regulatory environments, without any illegal or explicit agreement among firms to fix prices.

When All Firms in the Industry Charge the Same Price