If oligopolists did not collude but simply operated with excess capacity,the price would be _____ and the quantity _____ with oligopoly than with perfect competition.

Question

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In an oligopoly, firms often do not produce at full capacity to avoid driving down prices through excessive supply. Without collusion, they still tend to produce less than in a perfectly competitive market, leading to higher prices and lower quantities compared to perfect competition.

If Oligopolists Did Not Collude but Simply Operated with Excess