Posted by John Nichols on December 02, 2005 at 16:17:32 from 70.191.148.241 user Mcneacail.
In Reply to: Re: Dutch Auction posted by Jock on December 02, 2005 at 11:15:06:
Collusion is where two parties agree to an act delibrately, this is illegal generally as a breach of anti-trust acts in the USA and I suspect most parts of the world. I agree you can fix an auction, but that is also generally illegal.
Tacit collusion is where two people are playing a gaming strategy and they work unconscioulsy together to their mutual benefit. Unethical but hard to prove. But I think we are learning how to show colluders in RAB systems.
We also have divers who take minimum profit levels.
Ask yourself one simple question. Do you want your stock portfolio to do better than the market average? It is on this financial point in the RAB that we start to find colluders.
JMN