A key feature of an oligopoly is that the firms are interdependent,which allows them to be good examples in game theory.What does it mean when firms are interdependent?
A) The actions of one competitor influences the behavior of the others.
B) The competitors take actions according to their own situation.
C) The competitive landscape is brutal and will likely have low profits.
D) There will be a dominant solution available in the market.

Question

Quizplus · Accepted Answer

Interdependence means that the actions of one competitor influence the behavior of the others.

A Key Feature of an Oligopoly Is That the Firms