Which of the following statements is true regarding collusion?
A)The U.S. government encourages businesses to collude.
B)Business who collude compete outside the public eye, and thus have noncooperative outcomes.
C)Collusion between businesses does not serve the public interest.
D)Businesses who collude act in their own self-interest and ignore other players' decisions.

Question

Quizplus · Accepted Answer

Collusion typically involves businesses working together to set prices or market conditions, which can limit competition and lead to higher prices or reduced choices for consumers, thus not serving the public interest.

Which of the Following Statements Is True Regarding Collusion