Which of the following statements characterize an oligopoly market?
a. Oligopoly firms are guaranteed profits due to the lack of competition
b. Firms are aware that their own economic behavior will influence the decisions of rivals.
c. There are few barriers to entry.
d. Firms choose price and output independently from the decisions made by competitors.
b
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Use the following table to answer the question below.Quantity DemandedPriceQuantity Supplied5$7966875784693510241113If demand decreased by 4 units at each price, what would the new equilibrium price and quantity be?
A. $6 and 8 units B. $5 and 7 units C. $3 and 5 units D. $4 and 6 units
________ in the domestic interest rate causes the demand for domestic assets to shift to the ________ and the domestic currency to appreciate, everything else held constant
A) An increase; right B) An increase; left C) A decrease; right D) A decrease; left
Sam has $200 a month to spend on either tanning sessions or rounds of golf. Tanning sessions are $20 each, and a round of golf is $40. What can we say about Sam's utility?
A. Sam will get more utility from each round of golf than each tanning session. B. Sam will get the same utility from one round of golf as he would from two tanning sessions. C. Sam will maximize his utility from 2 rounds of golf and 6 tanning sessions. D. We cannot say anything about Sam's utility from the consumption of these goods without more information.
The real wealth effect is one reason for the negative slope of the aggregate demand curve
a. True b. False Indicate whether the statement is true or false