The figure above shows the market for airplanes.
-Suppose the airplane market is an oligopoly.According to the figure above,the price can range as high as ________ and as low as ________.

Question

Quizplus · Accepted Answer

The price can range as high as $13 million per plane and as low as $1 million per plane because the market is an oligopoly, which means that there are a few large firms that control a majority of the market share. This gives these firms the power to set prices and restrict output, which can lead to higher prices and lower output than would be the case in a competitive market.

The Figure Above Shows the Market for Airplanes