On What Basis Do Economists Claim That a Resale Price

Multiple Choice

On what basis do economists claim that a resale price maintenance agreement is NOT anti-competitive

A) Suppliers cannot exercise noncompetitive market power.
B) If a supplier has market power, it will be likely to exert that power through wholesale price rather than retail price.
C) Retail markets are inherently noncompetitive.
D) Retail cartel agreements cannot increase retail profits.