An industry in which a few firms produce most or all of the output of a product and in which large amounts of capital are needed known as which of the following?
A) perfect competition
B) an oligopoly
C) monopolistic competition
D) imperfect competition

Question

Quizplus · Accepted Answer

An oligopoly is an industry dominated by a small number of firms, which can lead to a lack of competition and barriers to entry. The firms in an oligopoly typically have significant control over pricing and output levels, and large amounts of capital are often required to enter the market, making it difficult for new competitors to emerge. This differs from perfect competition and monopolistic competition, which involve many small firms competing with each other. Imperfect competition is a broad term that describes any market in which the conditions of perfect competition are not met, so it does not provide a specific answer to this question.

An Industry in Which a Few Firms Produce Most or All