Excess capacity for a firm in an oligopoly situation
A) cannot contribute to long run profit for a firm.
B) encourages competitors to enter the market and build at optimal capacity.
C) is a deterrent to entry in the market by potential competitors.
D) will be temporary if the planning was done right.
Correct Answer:
Verified
Q1: In the Bertrand model,
A)each firm takes the
Q3: Stackelberg Leader-Follower duopolists face a market demand
Q4: Oligopoly is a market structure in which
A)firms
Q5: The strategy for the shared monopoly is
A)to
Q6: The basic idea of the theory of
Q7: Cournot duopolists face a market demand curve
Q8: Bertrand duopolists face a market demand curve
Q9: Prices in the Bertrand model are
A)the same
Q10: Which of the duopoly models has the
Q11: The strategy for the Stackelberg Leader is
A)to
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