Multiple Choice
The ABC Nail Company has entered into a collusive agreement with the other firm in the industry, the DC Nail Company. What occurs in the nail industry if ABC decides to cheat on the agreement?
A) The total profits in the nail industry will decrease.
B) The total industry output increases.
C) ABC lowers the price of its nails.
D) All of the above answers are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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