Collusive Behavior Guarantees Economic Profits in the Long Run for Oligopolists

question 113

True/False

Collusive behavior guarantees economic profits in the long run for oligopolists.

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Definitions:

Poisson Approximation

A method used to approximate the distribution of a number of events in a fixed interval of time or space, assuming the events occur with a known constant mean rate and independently of the time since the last event.

Trials

In probability, the term refers to the execution of an experiment or the number of times an experiment is run.

Poisson Distribution

A statistical distribution showing the probability of a given number of events occurring in a fixed interval of time or space.

Discrete Probability Distribution

A mathematical function that represents the probabilities of occurrence of different possible outcomes for a discrete random variable.