The Figure Given Below Shows the Revenue and Cost Curves

question 71

Multiple Choice

The figure given below shows the revenue and cost curves of a monopolistically competitive firm.Figure 12.4
MR: Marginal revenue curve
ATC: Average total cost curve
MC: Marginal cost curve
-Which of the following is a characteristic of an oligopoly market?

• A)Each firm in an oligopoly market can take independent pricing and output decisions.
• B)There are many firms in an oligopoly market hence a firm cannot influence the market price.
• C)In an oligopoly market, each firm's pricing and output decisions depend on those of its rivals.
• D)Firms in an oligopoly market always manufacture differentiated products.
• E)Barriers to entry does not exist in an oligopoly market.

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Definitions:

Ovum

A female reproductive cell or egg cell that, once fertilized by a sperm, can develop into a zygote.

Labia Minora

The folds of skin between the labia majora.

Uterus

A major female reproductive organ in mammals, including humans, where offspring are conceived and in which they gestate before birth.

Muscular Layer

The layer of muscle tissue in various organs and structures, responsible for movement and contractions.