The Paradoxical Nature of the Oligopoly Game Can Be Described

question 26

Multiple Choice

The paradoxical nature of the oligopoly game can be described by the fact that even though the monopoly outcome is best for all the oligopolists:

• A)they cheat themselves out of monopoly profits by increasing production
• B)they collude to set output level equivalent to the Nash equilibrium
• C)they do not behave as profit maximisers
• D)self-interest juxtaposes the profits earned at the Nash equilibrium

---

Definitions:

Egalitarian Society

A society that promotes equality in rights, status, and opportunities among its members, minimizing disparities.

Autocratic Power

A form of government in which a single person (an autocrat) holds all the power without limitations or checks and balances.

Pocahontas

A Native American woman notable for her association with the colonial settlement at Jamestown, Virginia, and her role in fostering peace between English settlers and Native Americans.

Dysentery

An infectious disease characterized by severe diarrhea with blood and mucus, often caused by bacteria or parasites.