In an oligopoly industry, price:
a. will be lower than the competitive price, due to cost savings.
b. will exceed the monopoly price, due to the destructiveness of competitive forces.
c. cannot be predicted exactly, because it is likely to lie between the competitive and monopoly prices.
d. none of these.
c
You might also like to view...
What is the slope of the consumption schedule or consumption line for a given economy?
A. APS B. 1 ? MPC C. 1 ? MPS D. APC
Suppose there is a temporary increase in the price of oil. This is represented by
A) a leftward shift of the SAS and the LAS curve. B) a leftward shift of the LAS curve. C) a rightward shift of the SAS curve. D) a leftward shift of the SAS curve.
Technically speaking, if price > AVC, then
a. TR > TC b. profit is positive c. TR > TVC d. profit is negative e. the firm should shut down
A major advantage of the corporation is
a. limited taxes. b. preferential treatment by state governments. c. limited liability of individual owners. d. limited numbers of owners and ease of decision making.