How Does the Competition Act Prohibit Price-Fixing

question 49

Multiple Choice

How does the Competition Act prohibit price-fixing

• A)Competing executives cannot even talk about fixing prices.
• B)Competing executives can talk about fixing prices, but they cannot take action to fix prices.
• C)A price-fixing agreement can lead to prosecution provided the government can show that the public was not well-served by the agreement.
• D)Activities such as bid rigging price discrimination and predatory pricing are all subject to prosecution but resale price maintenance is allowed.

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Definitions:

External Consequences

Outcomes that occur as a result of an action that affect the external environment or other people, beyond the individual who undertook the action.

Free Will

The concept that humans have the capacity to make choices and decisions independently of natural, social, or divine constraints.

Positive Outcomes

Favorable or beneficial results or effects of an action, behavior, or procedure.

Neutral Outcomes

Results or consequences of an action that neither significantly benefit nor harm the situation or the individuals involved.