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Rufina [12.5K]
1 year ago
9

Oligopolies exist because of barriers to entry. One of the most important barriers to entry is due to economies of scale. Why is

this true?
Business
1 answer:
GREYUIT [131]1 year ago
5 0

Oligopolies exist because of barriers to entry. One of the most important barriers to entry is due to economies of scale when it exists, the industry is more likely to be an oligopoly than a competitive one.

A market structure known as an oligopoly occurs when a few large sellers or manufacturers control a sizable portion of a market or an entire sector. Oligopolies are frequently the outcome of corporate collaboration as a way to increase profits. Because of the decreased competition, customers will pay more and workers will earn less.

In an oligopoly, there must be some entry barriers to allow businesses to capture a sizable portion of the market. These obstacles could be economies of scale or brand loyalty. Entry barriers, however, are lower than monopolies.

Several oligopoly-enabling circumstances have been noted. First off, there aren't many big companies in an oligopolistic market. This feature sets oligopoly apart from monopoly, in which there is only one entity.

To learn more about oligopoly refer to:

brainly.com/question/18686878

#SPJ4

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2 years ago
Consider the following information: Rate of Return If State Occurs State of Probability of Economy State of Economy Stock A Stoc
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3 years ago
Xavier and Yolanda have original investments of $50,000 and $100,000, respectively, in a partnership. The articles of partnershi
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Answer:

=$59,000.00

Explanation:

Original investments:

Xavier: $50,000.00

Yolanda $ 100,000.00

Allowances:

Xavier: $ 34,000.00

Yolanda : $ 26,000.00

Income at $120,000.00

Xavier allocation will be:

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Xavier =20/100x $50,000.00 =$10,000.00

Yolanda=20/100 x$100,000.00 = $20,000.00

Total interest on original investments = $30,000.00

Total allowances = $34,000+$26000=$60,000.00

Shareable income= $120,000.00- ($30,000+$60,000)

      = $30,000

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Xavier will get $ 15,000 + $ 10,000 +$ 34,000

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3 years ago
Stan wants to start an IRA that will have $250,000 in it when he retires in 25 years. How much should he invest semiannually in
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Answer:

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8 0
3 years ago
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