Some Observers Assert That Oligopolies Are Less Socially Desirable Than

question 2

Multiple Choice

Some observers assert that oligopolies are less socially desirable than pure monopolies because

• A)monopolies are often government-regulated, whereas collusion among oligopolies may lead to similar results as a monopoly yet, having several firms, may give the illusion of competition.
• B)monopolies have unique products, whereas product differentiation in oligopolies would lead to economic inefficiencies.
• C)mutual interdependence among firms in an oligopoly would lead to more inefficiencies than in the case of a monopoly.
• D)oligopolies tend to engage in advertising more so than monopolies.

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Definitions:

Zero-Base Budgeting

A budgeting approach where every expense must be justified for each new period, starting from a "zero base," with no reference to prior years' budget.

Redundant Activities

Processes or tasks that are unnecessary or duplicative, leading to inefficiency within an organization.

Continued Usefulness

Refers to the ongoing applicability or relevance of an asset, product, or process.

Participative Budgeting

A budgeting process where employees at various levels of an organization are involved in the budgeting decision-making process.