When two or more competitors collude to explicitly or implicitly set prices,this practice is referred to as _____.
A) horizontal price fixing
B) price discrimination
C) deceptive pricing
D) predatory pricing

Question

Quizplus · Accepted Answer

Horizontal price fixing refers to an agreement between competitors to set the prices of products or services rather than allowing market forces to determine prices. This is typically done to limit competition and increase profits, which is illegal under antitrust laws. Price discrimination refers to charging different prices to different customers based on factors such as location or demographics. Deceptive pricing refers to misleading or false pricing practices, while predatory pricing involves setting prices low enough to drive competitors out of business.

When Two or More Competitors Collude to Explicitly or Implicitly