Which benefit is shared by both monopolies and oligopolies?
Understand the Problem
The question is asking about the common advantages that monopolies and oligopolies have. These market structures may share benefits like market power, pricing strategies, or reduced competition, which can contribute to higher profits for companies operating within them.
Answer
Access to enough capital to operate in high-cost industries.
Both monopolies and oligopolies share the benefit of having access to enough capital to operate in high-cost industries.
Answer for screen readers
Both monopolies and oligopolies share the benefit of having access to enough capital to operate in high-cost industries.
More Information
Monopolies and oligopolies leverage their significant capital resources to dominate markets, often in sectors with high entry barriers due to high costs.
Sources
- Monopolies and Oligopolies - Statistics & Facts - Statista - statista.com
- Which benefit is shared by both Monopolies and Oligopolies? A ... - Numerade - numerade.com
- Oligopoly: Meaning and Characteristics in a Market - Investopedia - investopedia.com
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