Tacit Collusion

question 30

Multiple Choice

Tacit collusion

• A) involves direct communication among competing firms.
• B) is most likely to be successful if there are many competitors.
• C) is seen with conscious parallelism as practiced by GE and Westinghouse in the pricing of turbine engines.
• D) is not illegal.
• E) is most effective when the industry does not have a firm that acts as a price leader.

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