Which of the Following Statement About Oligopolies Is True

question 38

Multiple Choice

Which of the following statement about oligopolies is true?

• A)Market entry into an oligopoly is easy.
• B)In an oligopoly, there are many firms selling identical products.
• C)Capital requirements are minimal for entering an oligopolistic market.
• D)In an oligopoly, three or four firms usually dominate the marketplace.
• E)Antitrust cases are rare in oligopolies.

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Definitions:

Capital Lease

A lease agreement that grants a lessee the benefits and risks of ownership of the asset, typically recognized on the balance sheet.

Balance Sheet

A “snapshot” of an organization’s financial position at a given moment.