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प्रश्न
Why is the number of firms small in oligopoly? Explain.
उत्तर
In an oligopoly market, each firm is huge enough to control a significant portion of the market even though they are few firms. Output quotas and the price have a direct bearing on the output and price of rival firms in the market. So, there is no unique demand curve for an oligopoly firm. They form a collusive agreement among the firms to fix the price and output in the market. It is in order to avoid price competition and earn monopoly profits.
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संबंधित प्रश्न
Answer the following question.
Why are the firms said to be interdependent in an oligopoly market? Explain.
Distinguish between cooperative and non-cooperative oligopoly
Explain the cause of the limited number of firms in an oligopoly market.
Why is the number of firms small in an oligopoly market? Explain.
Choose the correct answer from given options
There are only a few sellers under
Elaborate three main features of an oligopoly form of market.
Explain the meaning of the following features of the Oligopoly Market :
(a) Non-Price Competition
(b) Few Sellers
State any two features of Oligopoly.
Briefly discuss the importance of Selling Cost under oligopoly market.
Sometimes, a firm considers the action and reaction of its rival firms while determining its price and output levels.
Which market form does such firm belong to?
