Q328
One characteristic not typical of oligopolistic industry is
A.
Too much importance to non-price competition
B.
Price leadership
C.
Horizontal demand curve
AnswerD.
A small number of firms in the industry
Answer: Option C
Solution
Answer: Option C
Solution:
One characteristic not typical of oligopolistic industry is Horizontal demand curve. The horizontal demand curve indicates that the elasticity of demand for the good is perfectly elastic. This means that if any individual firm charged a price slightly above market price, it would not sell any products.