What is price-fixing and how is it illegal?

Price-fixing is an illegal practice in which companies come together to agree on the prices or other terms of their services or products. This practice reduces inter-company competition and can result in higher prices for consumers. Price-fixing is a type of anti-competitive behavior that is prohibited by antitrust laws. In Oklahoma, the Oklahoma Antitrust Reform Act of 1977 prohibits any agreement or combination between two or more entities to fix, control, or maintain the price or other terms of their service or product. Such agreement or combination can take many forms, including joint-venture agreements, market allocation agreements, and price-fixing agreements. Price-fixing is an illegal and criminal act that carries serious penalties in Oklahoma. Individuals convicted of price-fixing may be ordered to payback triple the amount of profits made from the violation, and can face fines of up to $1,000,000 and up to 10 years in prison. Companies may also be subject to fines of up to $10,000,000 per violation. Price-fixing is illegal because it takes away competition between companies and restricts consumer choice. By eliminating competition and creating higher prices, consumers may be forced to pay more for services and products, reducing their overall purchasing power. Furthermore, price-fixing may reduce incentive for companies to innovate and produce better products and services due to the artificial limitation of market competition.

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What is price-fixing and how is it illegal?

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