If duopolists colluded but then stopped colluding,
A)price and quantity would rise.
B)price would rise and quantity would fall.
C)price would fall and quantity would rise
D)price and quantity would fall.

Question

Quizplus · Accepted Answer

When duopolists stop colluding, they start competing, which typically leads to a decrease in price and an increase in quantity as each firm tries to capture a larger market share.

If Duopolists Colluded but Then Stopped Colluding