1. Do you believe the labels that they were not acting in their own self-interest?
I do not believe that the labels were not acting in their own self-interest. By setting a price floor for their CDs (minimum advertised pricing) they were effectively able to control the revenue they would get. This ‘minimum price’ was set high and this led to higher profit margins at the expense of the consumers.2. Is this a price-fixing scheme or a pure case of altruism?
This was a case of price-fixing. By getting retailers to sell their CDs at an agreed price, the ...