Which of the Following Is NOT a Feature of Sweezy

question 75

Multiple Choice

Which of the following is NOT a feature of Sweezy oligopoly?

• A) There are a few firms in the market serving many consumers.
• B) The firms produce differentiated products.
• C) Each firm believes that rivals will cut their prices in response to a price reduction, but will not raise their prices in response to a price increase.
• D) Free entry and exit occurs in the market.