An Important Defence of Oligopoly as a Market Structure Is

question 3

Multiple Choice

An important defence of oligopoly as a market structure is that

• A)it involves less allocative inefficiency than monopoly.
• B)it results in lower prices than perfect competition.
• C)it is the most efficient available alternative when the minimum efficient scale is large.
• D)it generates less unused capacity than monopolistic competition.
• E)it is more productively efficient than monopoly.

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Definitions:

Rent Expense

The cost incurred from leasing a property or equipment for business operations, typically recognized in the income statement.

Adjusting Entry

Accounting records are updated with journal entries at the conclusion of an accounting period to assign revenues and expenses to the time they truly took place.

Weekly Salaries

Regular payments made by an employer to its employees, usually based on hours worked, calculated on a weekly basis.

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditures to the appropriate period for a correct financial picture.