Which of the following is TRUE?
A) Once an industry has achieved tacit collusion, producers have an incentive to raise prices.
B) Tacit collusion is legal in the United States.
C) The fact that one firm changes its price shortly after another firm does is proof of tacit collusion.
D) It is difficult to determine how much tacit collusion exists in a particular industry; hence tacit collusion remains hard to prosecute in the United States.
Correct Answer:
Verified
Q120: When firms in a particular industry informally
Q121: Use the following to answer questions:
Figure: Payoff
Q122: Use the following to answer questions:
Figure: Payoff
Q123: Which of the following is a form
Q124: OPEC is:
A) the Organization of Petroleum Exporting
Q125: Tacit collusion in an industry is limited
Q127: Use the following to answer questions:
Figure: Payoff
Q128: Use the following to answer questions:
Figure: Pricing
Q130: Use the following to answer questions:
Figure: Payoff
Q131: Use the following to answer questions:
Figure: Payoff
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