Oligopoly Is

question 50

Multiple Choice

Oligopoly is

• A) always efficient.
• B) efficient only if the firms cooperate.
• C) efficient only if the firms play non-repeated games.
• D) generally not efficient.
• E) efficient only if the firms innovate.

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Definitions:

Short-Run Costs

Costs that vary with the level of output in the short term, where some inputs are fixed.

Fertilizer

A substance, either chemical or organic, introduced to soil or land to improve its fertility and boost the growth of plants.

Purely Competitive Industry

Markets where many sellers are offering a homogeneous product, and no single seller can influence the price.

Short-Run Costs

Costs that vary with the level of output in the short term, including both variable and fixed costs.