When a few powerful corporation dominate as industry the condition is called_____________?
Correct answer: B. oligopoly
- A. a free market for all
- B. oligopoly
- C. government control
- D. none of the above
Explanation
An oligopoly exists when a small number of powerful firms dominate an industry, so each firm's decisions affect its major rivals. A monopoly has only one dominant seller, not a few.
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Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.
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