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

Question

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] · Answer 1 · 2022-05-31T10:38:00+03:00

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.

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

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