All of the choices are true. Oligopolistic firms pay close attention to their rivals to stay competitive, they are so few in number that they have some control over price, and they often charge a price higher than their ATC because of their market power.

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Oligopolistic Firms

Question 91

Multiple Choice

Oligopolistic firms

A) pay close attention to the actions of their rival firms.
B) are so few in number that at least one firm has some control over price.
C) charge a price that is higher than its ATC.
D) All of the choices are true.

Correct Answer: