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Michelle Priest-Peikert
on Nov 26, 2024

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Unlike a monopoly, an oligopoly tends to achieve allocative efficiency due to the rivalry among several firms.

Allocative Efficiency

A state of the economy where resources are distributed in a way that maximizes the net benefit to society, meaning that goods and services are produced and consumed at quantities where the marginal benefit equals marginal cost.

Oligopoly

A market structure characterized by a small number of firms that dominate the market, leading to limited competition and potentially higher prices for consumers.

Monopoly

A market structure characterized by a single seller, selling a unique product in the market without any close substitutes.

  • Acquire insight into the features and ramifications of oligopolistic market frameworks.
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KHALIF IBRAHIMDec 02, 2024
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