What Is the Most Likely Response by Rivals When an Oligopolist

question 115

Multiple Choice

What is the most likely response by rivals when an oligopolist cuts its price to increase its sales?

• A)Raise their prices.
• B)Ignore the change.
• C)Cut their prices.
• D)Reduce their costs.

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Definitions:

Administer

To manage, direct, or oversee the operation or distribution of services, programs, or resources.

Public Service

Employment within governmental agencies or departments aimed at serving the interests and needs of the public.

Arbitrators

Professionals who resolve disputes between parties by making decisions that are usually binding, often used in labor, commercial, and legal disagreements.

Strike Action

A work stoppage initiated by employees as a form of protest, typically aimed at securing better conditions or pay from their employers.