Explicit Collusion Exists When Firms Directly Communicate with Each Other

question 67

True/False

Explicit collusion exists when firms directly communicate with each other to coordinate their levels of production or their prices and is legal in most countries.

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Definitions:

Quantities

The amounts or levels of a good or service available or required in various contexts, such as in markets or in production processes.

Prices

Amounts of money required to purchase goods or services, acting as an indicator of the value placed on those goods or services by the market.

Department of Labor

A federal department responsible for promoting the welfare of job seekers, wage earners, and retirees in the United States by improving their working conditions, advancing their opportunities for profitable employment, protecting their retirement and healthcare benefits, and ensuring workplace safety.

Workers

Individuals engaged in some form of employment, contributing labor for the production of goods and services.