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Use the Figure to Answer the Following Question(s)

Question 27

Multiple Choice

Use the figure to answer the following question(s) .
Figure 11-12
Use the figure to answer the following question(s) . Figure 11-12 If the firms in this oligopolistic industry depicted in Figure 11-12 can collude effectively and restrict the entry of potential competitors, the price of their product will tend to be A) greater than P <sub>2</sub>. B) close to P <sub>2</sub>. C) approximately equal to P <sub>1</sub>. D) less than P <sub>1</sub>.
If the firms in this oligopolistic industry depicted in Figure 11-12 can collude effectively and restrict the entry of potential competitors, the price of their product will tend to be


A) greater than P 2.
B) close to P 2.
C) approximately equal to P 1.
D) less than P 1.

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