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AURORKA [14]
3 years ago
12

If oligopolists engaged in some sort of collusion, industry output would be __________ and the price would be _________ than und

er perfect competition.
Business
1 answer:
chubhunter [2.5K]3 years ago
8 0

Answer & Explanation:

If oligopolists engaged in some sort of collusion, industry output would be less than before and the price would be higher than under perfect competition.

When oligopolists collude, they will act as a monopoly, then the price that they will set would be higher than if they are under perfect competition. Also, the quantities that they will offer would be less. This happens because the quantity produced is determined by the intersection between the marginal cost curve (MC) and the marginal revenue curve (MR) and not by the intersection between the MC and the demand.

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Answer:

hello your question is incomplete here is the complete question

Suppose in the Republic of Sasquatch that the regulation of banking rested with the Sasquatchian​ Congress, including the determination of the reserve ratio. The Central Bank of Sasquatch is charged with regulating the money supply by using open market operations. In September​ 2015, the money supply was estimated to be 70 million yetis. At the same​ time, bank reserves were 8.4 million yetis and the reserve requirement was 12 percent. The banking​ industry, being​ "loaned up," lobbied the Congress to cut the reserve ratio. The Congress yielded and cut the reserve requirement to 10 percent.

The potential impact of this action could

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and this increase in money supply will lead to an increase in loanable funds and this will encourage investors t take up loans in which the banking industry will benefit from interest charged on loanable funds given to the investors.

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