What illegal activity involves agents inflating property prices based on discrimination?

Blockbusting is the act of inducing homeowners to sell their properties by creating a sense of panic about changing demographics in the neighborhood. This often involves real estate agents inflating property prices or manipulating market perceptions, primarily based on discrimination. Agents may prey on racial or ethnic fears to manipulate homeowners into selling their homes at lower prices, only to resell them at inflated prices to minority buyers. This practice not only perpetuates discrimination but is also illegal under fair housing laws.

The other options pertain to different unethical practices. Discrimination refers to the practice of treating someone unfairly based on characteristics such as race, gender, or religion, but it doesn't specifically describe the pricing manipulation aspect. Steering involves directing homebuyers toward or away from certain neighborhoods based on discriminatory motives, impacting choice but not necessarily price inflation. Price fixing refers to an agreement among businesses to set prices at a certain level, which differs from the discriminatory practices involved in blockbusting. Therefore, blockbusting stands out as the clear answer in the context of illegal activity linked to the manipulation of property prices through discriminatory actions.