Do cost reductions in oligopolies usually lead to price reductions? a. always b. never c. sometimes, if the government permits it d. sometimes, but only if the oligopolists choose to use lower prices to expand the market and/or their market share e. sometimes, if arbitrage can be eliminated

Do cost reductions in oligopolies usually lead to price reductions? a. always b. never c. sometimes, if the government permits it d. sometimes, but only if the oligopolists choose to use lower prices to expand the market and/or their market share e. sometimes, if arbitrage can be eliminated

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter10: Monopolistic Competition And Oligoply

Section: Chapter Questions

Problem 4SQP

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Question

Do cost reductions in oligopolies usually lead to price reductions?

a. always

b. never

c. sometimes, if the government permits it

d. sometimes, but only if the oligopolists choose to use lower prices to expand the market and/or their market share

e. sometimes, if arbitrage can be eliminated

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