A firm might be tempted to cheat on a collusive price- fixing agreement by setting a _______ price and producing _______ than agreed upon.
A) higher; more
B) lower; more
C) higher; less
D) lower; less

Question

Quizplus · Accepted Answer

A firm might be tempted to cheat on a collusive price-fixing agreement by setting a lower price to attract more customers and producing more than agreed upon to increase its market share and profits, undermining the agreement.

A Firm Might Be Tempted to Cheat on a Collusive