A tying contract requires that sellers charge a price that is tied to the quantity of output produced.

Name: A tying contract requires that sellers charge a price that is tied to the quantity of output produced.
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A tying contract involves a situation where the sale of one product (the "tying" product) is conditioned on the purchase of a second, distinct product (the "tied" product). It does not necessarily relate to pricing based on the quantity of output produced.

A Tying Contract Requires That Sellers Charge a Price That