In the Stackelberg Model of Oligopoly,the Dominant Firm

Multiple Choice

In the Stackelberg model of oligopoly,the dominant firm:

A) will equate marginal cost with the residual demand curve to maximize profits.
B) faces a perfectly elastic demand curve.
C) can maximize profits ignoring the actions of other firms in the industry.
D) faces a marginal revenue curve that lies under the residual demand curve.