ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -An oligopoly is defined as a market structure with few firms and barriers to entry. Oligopoly = A market structure with few firms and barriers to entry. There is often a high level of competition between firms, as each firm makes decisions on prices, quantities, and advertising to maximize profits.

Detailed explanation-2: -Second, an oligopolistic market has high barriers to entry. This condition distinguishes oligopoly from perfect competition and monopolistic competition in which there are no barriers to entry.

Detailed explanation-3: -Monopolistic Markets Characteristics There are many producers and many consumers in the market, and no business has total control over the market price. Consumers perceive that there are non-price differences among the competitors’ products. There are few barriers to entry and exit.

Detailed explanation-4: -Answer and Explanation: Oligopoly has barriers to entry since a small number of firms control a large share of the market. The small number of large firms may have achieved economies of scale and thereby reduced cost, dissuading other new players, who have a higher cost to enter the market.

Detailed explanation-5: -Oligopoly is a market that has a few large firms. Monopoly is a market that has a few large firms. Duopoly is a market that has a few large firms. Perfect competition is a market that has a few large firms.