Economists no longer attack industry concentration with the same fervor they once did because
A) even firms in highly concentrated industries can be pushed to produce efficiently under certain market circumstances.
B) the benefits of product differentiation and product competition are illusory.
C) small firms do the most research in the United States.
D) substantial economies of scale result in completely competitive market structures.

Question

Quizplus · Accepted Answer

Economists recognize that even in industries with few firms, competition and market forces can still drive efficiency. This understanding acknowledges that market dynamics, rather than the number of firms alone, determine competitive behavior and efficiency.

Economists No Longer Attack Industry Concentration with the Same Fervor