Using the Internet, some firms are now employing software that uses pricing algorithms to constantly adjust their online prices in response to what rivals are charging for similar products. This is making it easier for the
A)firms to collude tacitly in their pricing schemes.
B)government to prove price-fixing.
C)firms to gain monopoly power over their rivals.
D)government to enforce industrial regulation.

Question

Quizplus · Accepted Answer

Tacit collusion becomes easier with the use of pricing algorithms by allowing firms to quickly adjust their prices in response to competitors, without direct communication or explicit agreements.

Using the Internet, Some Firms Are Now Employing Software That