An oligopoly:
A) includes only one company that exerts control over most of the market.
B) comprises of a large number of competitors who own the market.
C) includes only one large buyer dominating a particular market.
D) comes under Section 1 of the Sherman Act.

Question

Quizplus · Accepted Answer

Section 2 of the Sherman Act is designed to prevent anticompetitive behavior by a single firm. Section 1 of the Sherman Act concerns the behavior of one or more firms acting in agreement with each other. The result is that there is a gap in coverage in industries where there are a few competitors who own the entire market. This type of market is called an oligopoly, or, more recently, a shared monopoly.

An Oligopoly