If There Is an Increase in the Number of Firms

question 96

Essay

If there is an increase in the number of firms in an oligopoly, what effect would this have on the market if:
(a) they act independently of each other, and
(b) they collude and enforce a cartel agreement?

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Definitions:

Cardiovascular Systems

The system in the body comprised of the heart and blood vessels, responsible for circulating blood and transporting nutrients, oxygen, and waste products throughout the body.

Panic Attack

A discrete period of intense fear or discomfort accompanied by at least 4 of 13 specific somatic, behavioural, and cognitive symptoms such as palpitations, shaking, chest pain, and fear of dying, going crazy, or losing control.

Dementia

A general term for a decline in mental ability severe enough to interfere with daily life, often involving memory loss and difficulties with thinking, problem-solving, and language.

Cognitive Processes

Mental activities involved in acquiring, storing, retrieving, and using information, such as perception, memory, and reasoning.