If two firms comprise the entire soft drink market, the market would be a(n)
A)Nash equilibrium.
B)monopolistically competitive market.
C)oligopolistically competitive market.
D)duopoly.

Question

Quizplus · Accepted Answer

A duopoly is a market with two firms as the only producers or sellers of a certain product or service. In this case, the two firms are competing against each other in a market that is not perfectly competitive, but rather oligopolistically competitive. Therefore, the best answer is D - duopoly.

If Two Firms Comprise the Entire Soft Drink Market, the Market