Asked by
Colin Lynch
on Dec 12, 2024
Verified
The price charged by oligopolists will
A) equal the equilibrium price in a price-takers market if the oligopolists collude.
B) equal the monopoly price if the oligopolists do not collude.
C) generally fall between the monopoly and competitive market equilibrium prices.
D) be the same whether the oligopolists cooperate with one another or not; only profit is affected.
Oligopolists
Firms that are part of an oligopoly, a market structure characterized by a few companies dominating the market.
Equilibrium Price
The market price at which the quantity of goods supplied equals the quantity of goods demanded.
- Understand the economic consequences of monopolistic and oligopolistic market formations on price levels, production, and efficiency.
Verified Answer
TK
Learning Objectives
- Understand the economic consequences of monopolistic and oligopolistic market formations on price levels, production, and efficiency.