A small number of firms competing with each other is characteristic of:

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A small number of firms competing with each other is characteristic of oligopoly. In oligopoly, there are typically a few large firms dominating the market and exerting significant influence on price and other market factors. This is in contrast to perfect competition, which involves a large number of small firms, and monopolistic competition, which features many firms selling slightly differentiated products. Monopoly involves only one firm dominating the market.

A Small Number of Firms Competing with Each Other Is