There are many different models of oligopoly because:
A. firms do not maximize profits in oligopolistic competition.
B. beliefs play an important role in oligopolistic competition.
C. oligopoly is the most complicated type of market structure.
D. beliefs play an important role in oligopolistic competition and oligopoly is the most complicated type of market structure.
Answer: D
Economics
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Perfectly competitive firms are price takers
Indicate whether the statement is true or false
Economics
Suppose an oil cartel has an agreement to restrict members' production in order to maintain a price of $30 per barrel. A single cartel member may want to cheat and exceed its quota so that it can:
A. reduce its costs. B. charge higher prices. C. make demand more inelastic. D. earn a bigger profit.
Economics