Which of the following is NOT a feature of Sweezy oligopoly?
A) There are a few firms in the market serving many consumers.
B) The firms produce differentiated products.
C) Each firm believes that rivals will cut their prices in response to a price reduction, but will not raise their prices in response to a price increase.
D) Free entry and exit occurs in the market.

Question

Quizplus · Accepted Answer

Sweezy oligopoly assumes that entry and exit barriers exist, meaning that free entry and exit does not occur in the market.

Which of the Following Is NOT a Feature of Sweezy