Suppose you are an economist working for the Antitrust Division of the Department of Justice. In the following case you are given the task of determining whether the behavior warrants an antitrust investigation for possible illegal acts or is just an example of undesirable, but not illegal, tacit collusion. The two largest credit card companies, Passport and OmniCard, have required all banks and retailers who accept their cards to agree to limit their use of rival credit cards.
A. This warrants an antitrust investigation.
B. This is just an example of undesirable, but not illegal, tacit collusion.
C. This is not collusion.