Bonnie Dont confess and Clyde confess bonnie gets 20 Clyde is free Most likely

Bonnie dont confess and clyde confess bonnie gets 20

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Bonnie Don’t confess and Clyde confess = bonnie gets 20, Clyde is free Most likely Bonnie and Clyde don’t confess = scott free Shared power in the market, but the businesses have more power than the consumers Characteristics of Oligopoly o 1. Few firms 4 or 5 controlling the industry o 2. Product can be standardized or differentiated o 3. Significant barriers to industry o 4. Lots of non-price competition o 5. Control over price is limited by interdependence or is considerable with collusion collusion is illegal Results of pursuing own self-interest (as a business) o Quantity for oligopoly is greater than quantity for monopoly o Price in oligopoly is less than than price in monopoly o Oligopolistic profit is less than profit in monopoly
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Results of Decreasing output o r How to set up a payoff matrix o See Prisoner’s dilemma Controversies over Antitrust Policy o Resale price maintenance o Predatory pricing Not price discrimination When you deliberately price your product so low, that you know you’re going to get losses, but you prevent others from entering the market o Tying agreements
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