Question: In many college towns, rumors abound that the gas stations in town collude to keep prices high. If this were true, where would you expect this conspiracy against the public to work best? Why?
a. In towns with dozens of gas stations or in towns with fewer than 10?
b. In towns where the city council has many environmental and zoning regulations, making it difficult to open a new gas station, or in towns where there is a lot of open land for development?
c. In towns where all the gas stations are about equally busy or in towns where half the gas stations are always busy and half tend to be empty?