Why Do Price-Sensitive Buyers Tend to Harm Cooperative Pricing in a Market

question 29

Multiple Choice

Why do price-sensitive buyers tend to harm cooperative pricing in a market?

• A)They cause an increase in detection lags because competitor prices become more difficult to monitor
• B)There is a resultant decrease in the frequency of interaction between competitors
• C)There is an increase in the probability of misreads
• D)The is an increase in temptation to cut price,even if competitors are expected to match
• E)There is an increase in detection lags because prices of competitors are more difficult to monitor

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Definitions:

Dollars

The official currency of the United States, also used in other countries as an official or de facto currency.

Merchandise Trade

involves the import and export of goods between countries without including services, focusing on physical products.

Trade Deficit

A situation where a country's imports exceed its exports during a specific period of time.

Welfare Rolls

A term referring to the list or number of individuals receiving welfare benefits provided by the government.