Hasbro is fined for price fixing.

Sites to Visit for More Information:

1. Hasbro
2. Office of Fair Trading

Questions:

1. Why does a firm price fix?
2. What happens to consumer surplus, producer surplus, and deadweight loss when toy distributors fix prices?
3. Is the market efficient when toy distributors fix prices? Why or why not?
4. What can the government do to eliminate price fixing?

Chapters: 17

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