Although tacit collusion can enhance the price-setting power of the participating firms,it can also result in greater efficiency in production,which also benefits society.Thus,it is not immediately clear,a priori,when tacit collusion actually hurts or helps consumers.

Question

Quizplus · Accepted Answer

The statement correctly states that tacit collusion can have both positive and negative effects on consumers and society, making it difficult to determine its overall impact without further analysis.

Although Tacit Collusion Can Enhance the Price-Setting Power of the Participating