Opportunistic behavior by oligopolies means
A) that firms cooperate in both the long run and in the short run to prevent others from entering the industry.
B) that firms cooperate in the short run for current gains.
C) that firms refuse to cooperate in the short run.
D) that firms refuse to honor their product guarantees.
Answer: B
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One of the surprising conclusions of many of the noncooperative models of oligopoly is that firms end up better off with the noncooperative outcome than they would by cooperating with one another
Indicate whether the statement is true or false
Subprime mortgage
What will be an ideal response?
If a country allows trade and, for a certain good, the domestic price without trade is higher than the world price,
a. the country will be an exporter of the good. b. the country will be an importer of the good. c. the country will be neither an exporter nor an importer of the good. d. Additional information is needed about demand to determine whether the country will be an exporter of the good, an importer of the good, or neither.
Refer to the above diagram. At output level Q total variable cost is:
A. 0BEQ. B. BCDE. C. 0AFQ. D. 0CDQ.