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In a Price Leadership Oligopoly Model, When the Price Leader

Question 94

Multiple Choice

In a price leadership oligopoly model, when the price leader increases its price, the other firms will:


A) raise their prices.
B) cut their prices in order to increase their market shares.
C) maintain their current prices in order to increase their market shares.
D) either cut their prices, raise their prices, or leave their prices unchanged.

Correct Answer:

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