Is the use of algorithms to set prices a subterfuge to facilitate price fixing?
“To Set Prices, Stores Turn To Algorithms,” The Wall Street Journal, May 9, 2017 A1. Use of algorithms to establish prices for a wide range of products, from Staples to gas stations based on “big data.”
But what if everyone uses the same algorithm? Or if the algorithms are wrong or the data upon which they are based is wrong? Can anyone explain what they do and how they do it? The ultimate black box.