What, in an Oligopolistic Market, is Collusive Behaviour? -When is most likely to happen?

-This is when Firms Cooperate - especially on Price -Formal Collusion is an Agreement between Firms - a Cartel. Usually Illegal -Informal Collusion is Tacit - No agreement is made. Firms just know not to Compete and its in their Best Interests -Firms can still be Price Leaders, but this sets up a Pattern ie other Firms will do the Same. -Most likely when Firms have similar Costs -Or when there are a Few Big Firms - easier to Check up on -Or when there is a Sense of Brand Loyalty in place -Or when Barriers to Entry are HIgh.