An Oligopoly Is a Market Structure with Relatively Few Competitors

question 102

True/False

An oligopoly is a market structure with relatively few competitors and in which ease of entry into the industry by new firms is difficult due to high start-up costs.

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Definitions:

Marginal Revenue Product

The additional revenue generated from employing one more unit of a factor of production, such as labor.

Productivity

Productivity measures the efficiency of production in terms of the amount of goods and services produced from a given amount of inputs, such as labor and capital, within a specific period.

Derived Demand

Derived demand refers to the demand for a good or service that originates from the demand for another good or service.

Final Demand

The demand for finished goods and services by consumers, businesses, and government, excluding intermediate goods.