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Which of the Following Is True of an Oligopoly Market

Question 74

Multiple Choice

Which of the following is true of an oligopoly market?


A) Firms earn zero economic profits in the long run.
B) There are a large number of sellers in the market.
C) The presence of economies of scale discourages new firms from entering the market.
D) Firms choose price and output independently from the decisions made by competitors.
E) There are substantial diseconomies of scale in production.

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