The key characteristic of oligopoly markets is "interdependence among firms." This means that:
a. the demand curve faced by each firm is perfectly elastic
b. each firm produces a product identical to its rivals.
c. each firm must consider how its decisions will affect its competitors.
d. firms will be able to earn above-normal profits in the long run.
c
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Which of the following factors is likely to lead to an increase in the quantity demanded of pens?
A) A fall in the price of paper B) A fall in the incomes of all consumers C) A rise in the incomes of all consumers D) A fall in the price of pens
When a country has monetary autonomy, it can:
A) conduct monetary policy independently of all other countries. B) conduct monetary policy only in coordination with all other countries. C) conduct monetary policy only in cooperation with its reserve currency country (the country to which it fixes its currency). D) print money without affecting inflation.