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February 12, 2023

Horizontal Price Fixing and Gasoline Stations Discussion

Grantham University Horizontal Price Fixing and Gasoline Stations Discussion
Gasoline Station
A busy corner intersection in Houston has gasoline stations on all four corners. These dealers always seem to have identical prices for their gasoline or, at least, they are within one cent of each other. Is this evidence of horizontal price fixing? Why or why not? In addition, how does legislation constrain a retailer’s pricing policies?

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