Glintz and Meck are two oligopolistic firms that agree to align their pricing strategies for the coming year. However, Glintz suspects that Meck will not honor the agreement. What can Glintz do to minimize its potential loss in this situation?
a. Form a cartel with Meck to ensure that collusion succeeds.
b. Defect from the agreement first by lowering its prices.
c. Convince other competitors to join the collusive oligopoly.
d. Defect from the agreement first by raising its prices.
b. Defect from the agreement first by lowering its prices.
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Indicate whether the statement is true or false
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a. lowers; rise b. lowers; fall c. raises; rise d. raises; fall