Collusion Results When a Group of Firms

question 42

Multiple Choice

Collusion results when a group of firms
i.act separately to limit output,lower prices,and decrease economic profits.
ii.act together to limit output,raise prices,and increase economic profits.
iii.in the United States legally fix prices.

• A) i only
• B) ii only
• C) iii only
• D) i and iii
• E) ii and iii

---

Definitions:

Standard & Poor's

A US financial services company known for its stock market indices like the S&P 500, as well as providing credit ratings for borrowers.

Nominal Return

The rate of return on an investment without adjusting for inflation.

Yielding

The income produced by an investment, typically expressed as a percentage of the investment's cost.

Canada Bonds

Bonds issued by the Canadian government, offering a low-risk investment option with fixed interest payments.