The market structure that is characterized by only a small number of producers is referred to as a(n):
A)oligopoly.
B)perfect competition.
C)monopoly.
D)monopolistic competition.

Question

Quizplus · Accepted Answer

An oligopoly is a market where a small number of firms dominate the market. This can lead to competition between the firms, as well as the potential for collusion and price fixing. Examples of oligopolies include the automobile industry and the airline industry. Perfect competition involves a large number of small firms, while a monopoly involves a single dominant firm. Monopolistic competition involves many firms selling differentiated products.

The Market Structure That Is Characterized by Only a Small