The chances of successful collusion are greatest when
a. firms are producing a differentiated product.
b. there are many firms in the industry.
c. there are tiny firms and huge firms together in the same industry.
d. demand curves and cost curves are similar among the firms in the industry.
e. demand is falling.
D
Economics
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You can drive to campus, take a bus, or walk. Driving costs you $1/mile in gas and maintenance, the bus costs $1 for unlimited distance, and walking is free but involves a disutility equivalent to $1/mile. If you live 2 miles from campus, and are a rational decision maker, what is your reservation price for a bus ticket?
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Economics