why-are-oligopoly-markets-considered-less-efficient-than-perfectly-competitive-m

Question

Why are oligopoly markets considered less efficient than perfectly competitive markets?

Accepted Answer

Because price exceeds marginal cost in oligopoly markets.

Answer

Because price equals marginal cost in oligopoly markets.

Answer

Because there are more firms in oligopoly markets.

Answer

Because oligopoly markets have lower barriers to entry.