Asked by Rachel Moses on Mar 10, 2024
Verified
The market structure that is characterized by only a small number of producers is:
A) oligopoly.
B) perfect competition.
C) monopoly.
D) monopolistic competition.
A) oligopoly.
B) perfect competition.
C) monopoly.
D) monopolistic competition.
Oligopoly
A market structure characterized by a small number of firms whose actions significantly affect each other.
Producers
Individuals or businesses involved in the creation of goods and services for sale in the market.
Market Structure
The organizational and other characteristics of a market that influence the nature of competition and pricing.
- Understand the definition and characteristics of oligopoly.
Verified Answer
DB
Dalia Bonilla
Mar 10, 2024
Final Answer :
A
Explanation :
An oligopoly market structure is characterized by a small number of producers who have significant control over the market. In an oligopoly, each producer can influence prices and decisions made by other producers. This type of market structure is common in industries such as telecommunications, automobile, and airline industries.
Learning Objectives
- Understand the definition and characteristics of oligopoly.
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