When oligopoly firms collude to raise prices,

Name: When oligopoly firms collude to raise prices,
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Question

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When oligopoly firms collude to raise prices, each firm benefits by earning more profits. However, society loses because the collusive behavior reduces consumer surplus and economic efficiency, which ultimately harms the overall economy. Thus, although the colluding firms benefit individually, the collective welfare of the society declines.

When Oligopoly Firms Collude to Raise Prices