Which of the following actions should be discussed with an attorney before undertaking as the action could be considered legal?
A) a tying sale with a customer
B) an agreement with a competitor firm to set prices
C) an agreement with a competitor firm to not sell to a particular customer
D) an agreement with a competitor firm to adjust output levels
A) a tying sale with a customer
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Suppose that a market for a product is in equilibrium at a price of $3 per unit. At any price below $3 per unit
A) there will be an excess demand for the product. B) the quantity demanded of the product will be less than the quantity supplied of that product. C) there will be a surplus of that product. D) there will be an excess supply of the product.
If the marginal propensity to consume is 0.5, the income tax rate is 10%, and income rises by $20,000 . by how much will consumption spending increase?
a. $15,000 b. $10,000 c. $5,000 d. $9,000 e. $1,000