or more competitors explicitly or implicitly setting prices is referred to as __________.
A) competitive collusion
B) vertical price fixing
C) horizontal price fixing
D) lateral price fixing
E) price cooperation

Question

Quizplus · Accepted Answer

Horizontal price fixing occurs when competitors agree to set prices at a certain level, either explicitly or implicitly. This is illegal under antitrust laws, as it restricts competition and can lead to higher prices for consumers. Competitive collusion refers to any agreement between competitors to fix prices, whereas vertical price fixing refers to an agreement between a supplier and its customers to set prices. Lateral price fixing and price cooperation are not commonly used terms in the context of antitrust law.

Or More Competitors Explicitly or Implicitly Setting Prices Is Referred