Firms Must Consider the Possible Reaction of Rivals to Their

question 168

Multiple Choice

Firms must consider the possible reaction of rivals to their own decisions and actions in

• A) monopolistic competition only.
• B) monopolistic competition and oligopoly.
• C) oligopoly only.
• D) pure competition and oligopoly.

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Definitions:

Global Minimum Variance Portfolio

A global minimum variance portfolio is an investment portfolio that is constructed to achieve the lowest possible risk or variance among all possible portfolios of assets.

Stocks A and B

Not a specific financial term, but could refer to two different stocks or classes of shares within a company, often with different rights and privileges.

Weights

In finance, refers to the proportion of each asset within a portfolio or a composite measurement, indicating its relative importance or contribution to the overall performance.

Return

The profit or loss generated on an investment over a certain period, usually expressed as a percentage of the initial investment.