In the context of the free market system, which of the following statements is true of oligopoly?
A) It is a market structure that has many competitors selling virtually identical products.
B) It typically avoids intense price competition.
C) The agriculture industry is an example of oligopoly.
D) It has a single producer completely dominating the industry, leaving no room for competitors.

Question

Quizplus · Accepted Answer

Oligopoly is a market structure characterized by a small number of firms that have significant market power, which often leads to avoiding intense price competition to maintain stable profits.

In the Context of the Free Market System, Which of the Following