Use the Following Statements to Answer This Question: I

Multiple Choice

Use the following statements to answer this question: I. Under the dominant firm model, the dominant firm effectively acts like a monopolist who is facing the excess market demand that cannot be supplied by the fringe firms.
II) Under the dominant firm model, the fringe firms also act like profit maximizing monopolists.

A) I and II are true
B) I is true and II is false
C) I is false and II is true
D) I and II are false