The oligopolistic model in which firms produce exactly the same results as would exist if a monopolist controlled the entire industry is called the ________ model.
A) Cournot
B) price leadership
C) maximin strategy
D) collusion

Question

Quizplus · Accepted Answer

The collusion model in oligopolies refers to a scenario where firms in the industry collaborate (explicitly or implicitly) to set prices and output levels as if they were a single monopolist, controlling the entire market. This coordination allows them to maximize collective profits, similar to a monopoly's behavior.

The Oligopolistic Model in Which Firms Produce Exactly the Same