In an oliogopy market, what would a regulator do?

In an oliogopy market, what would a regulator do?
A . prevent price fixing and collusion
B . stop the market becoming a monopoly
C . ensure value for money for buyers
D . ensure health and safety standards

View Answer

Answer: A

Explanation:

In an oliogopy, supplier power is strong. Sometimes regulators are required in the market to prevent the group of suppliers conspiring together to artificially increase prices. See p.40 for more information on Oligopy markets.