Final answer:
Explicit collusion is illegal in most developed economies, and cartels are a form of such collusion that is easily evidenced and thus rare in countries like the United States.
Step-by-step explanation:
False. Explicit collusion is illegal in most developed economies. Cartels, which are formal agreements to collude, provide clear evidence of such collusion and thus they are rarely formed in places like the United States. The problem of enforcement lies in finding hard evidence, as most collusion is tacit, where firms do not explicitly agree but rather implicitly understand that competition is detrimental to profits. This understanding is achieved without explicit communication to avoid legal ramifications. Outright collusion to raise profits is illegal, and firms have to navigate within gray areas of regulation to avoid legal consequences.