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26 September, 11:40

An oligopoly is a market in which a the actions of one seller in the market have no impact on the other sellers' profits. b firms are price takers. c there are many price-taking firms, each offering a product similar or identical to the products offered by other firms in the market. d there are only a few sellers, each offering a product similar or identical to the products offered by other firms in the market.

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  1. 26 September, 14:54
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    The correct answer is option d.

    Explanation:

    An oligopoly is a market structure where there are a few producers producing homogeneous products or similar products which are close substitutes. Because of a few firms, there is a high degree of competition in the market.

    The market decisions of a firm affect its rivals, so all the firms are interdependent on each other.

    The firms are price makers. There is high restrictions on entry of firms in the market.
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