As a group, oligopolists would always earn the highest profit if they would a. produce the perfectly competitive quantity of output. b. produce more than the perfectly competitive quantity of output. c. charge the same price that a monopolist would charge if the market were a monopoly. d. operate according to their own individual self-interests.

Question

Business

Winston Osborn

12 August, 00:50

As a group, oligopolists would always earn the highest profit if they would a. produce the perfectly competitive quantity of output. b. produce more than the perfectly competitive quantity of output. c. charge the same price that a monopolist would charge if the market were a monopoly. d. operate according to their own individual self-interests.

+3

Answers (1)

Know the Answer?

Micah Fields · Answer 1

The correct answer is C)

Explanation:

Oligopolists make the highest profits when they form a cartel that gives them the "advantage" of a Monopolist.

When they come together to agree on decision relating to price and units produced or supplied, they are able to adjust the said factors such that it gives them more profit that if they operated as single entities with slight competition against each other.

Cheers!