A number of top fashion-modeling agencies would most likely be charged with ________ for jointly determining what commissions they would charge for models.
A) prestige pricing
B) price lining
C) price bundling
D) dynamic pricing
E) price fixing

Question

Quizplus · Accepted Answer

The phrase "jointly determining what commissions they would charge" indicates that the agencies are collaborating to set prices. This is price fixing, which is illegal and can result in antitrust charges. Choices A, B, C, and D refer to legitimate pricing strategies and do not involve collusion among firms.

A Number of Top Fashion-Modeling Agencies Would Most Likely Be