The U.S. oil industry has only a few firms in it, so an economist is likely to describe the industry as

Question

Quizplus · Accepted Answer

An oligopoly is a market structure in which a small number of firms dominate the industry. The U.S. oil industry is dominated by a few large firms, such as ExxonMobil, Chevron, and ConocoPhillips, making it an oligopoly. While there may be smaller firms in the industry, the majority of the market share and control lies with these larger firms.

The US Oil Industry Has Only a Few Firms in It