In an oligopoly:

A) there are many sellers.
B) there are no barriers to entry.
C) firms recognize their interdependence.
D) total surplus is maximized.

Interdependence

A relationship among firms in which their decisions significantly affect one another’s profits; characteristic of oligopolies.

Oligopoly

A market structure characterized by a small number of firms that control a large portion of the market share, influencing prices and competition.

Barriers to Entry

These are obstacles that prevent new competitors from easily entering an industry or area of business.