Question: Firms that are colluding will: Question 3 Answer a . Choose their output where P = MC b . Charge the lowest possible price in
Firms that are colluding will:
Question Answer
a
Choose their output where PMC
b
Charge the lowest possible price in order to sell the most output
c
Charge the highest possible price in order to maximize revenues
d
Charge different prices based on the production costs of the individual firms
e
Act as if they are a monopoly
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