In an oligopoly market, unlike in other market structures, firms
A)can act interdependently.
B)can produce a homogeneous product or a differentiated product.
C)use advertising.
D)face low barriers to entry and exit.
E)a and b

Question

Quizplus · Accepted Answer

In an oligopoly market, firms can act interdependently and can produce either a homogeneous product or a differentiated product. This interdependence is a key feature of oligopolies, as the actions of one firm can significantly impact the others. Additionally, the nature of the products in oligopolies can vary, allowing for both homogeneous and differentiated products within the same market structure.

In an Oligopoly Market, Unlike in Other Market Structures, Firms