In an oligopoly,the behavior of any one firm depends on the reaction it expects of all other firms in the industry.

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In an oligopoly, the actions of one firm can have a significant impact on the actions and reactions of other firms in the industry. Therefore, any decisions or behaviors made by one firm must be taken in consideration of how other firms will respond, as their actions can affect market prices, output levels, and other aspects of the industry as a whole.

In an Oligopoly,the Behavior of Any One Firm Depends on the Reaction