Two Firms Would Sometimes Be Better Off If They Got

question 20

Multiple Choice

Two firms would sometimes be better off if they got together and agreed to charge a high price, rather than to compete and risk having to charge a lower, competitive price.What is the greatest deterrent to this strategy?

• A)The firms may find that the price they charge is greater than the price that would maximize their profits.
• B)An agreement by firms to charge high prices is illegal. The government can fine the firms and send their managers to jail.
• C)Consumers may resent having to pay high prices and not buy from either of the firms.
• D)One of the firms may decide to lower its price and take business away from the firm that charged the high price.

---

Definitions:

Career Options

The range of different professional paths or job opportunities available to individuals based on their skills, interests, and qualifications.

Multicultural Competence

The ability to understand, communicate with, and effectively interact with people across cultures.

Multicultural Training Program

An educational or training initiative designed to enhance understanding and appreciation of cultural diversity, promoting effective interaction in a diverse environment.

Supervised Experience

A period of professional training where a novice practitioner gains practical experience under the guidance and oversight of an experienced supervisor.