The government contracts eliminated price wars by agreeing on common prices and fixed pricing policies.
Explanation:
The price wars that happen mostly between neighboring countries or two dominant countries in the global economy often lead to the loss of both the parties involved.
In an attempt to attract more of foreign buyers, some countries choose to intentionally drop the prices of the commodities produced within their domestic boundaries so that they get a trading advantage over the competitor countries.
But this policy often brings negative outcomes as all the players dealing in the same commodity suffer loss.
