The interdependence between firms in an oligopoly leads to
A) trade wars.
B) a decrease in the supply.
C) imitative behavior.
D) higher demand.
E) increased domestic consumption.

Question

Quizplus · Accepted Answer

In an oligopoly, firms are highly interdependent and often engage in imitative behavior, such as matching price changes or product offerings, to maintain competitive parity.

The Interdependence Between Firms in an Oligopoly Leads to