Distinguish between collusive and non-collusive oligopoly. - Vidyadip

Question

Distinguish between collusive and non-collusive oligopoly.

✓

Answer

Difference between collusive and non-collusive oligopoly are:

S. No	Basis	Collusive oligopoly	Non-collusive oligopoly
1.	Meaning	Under this form, firms might decide to collude together and not to compete with each other.	In this form of oligopoly, firms do not collude, but compete with each other.
2.	Firms behave	Under this oligopoly, the firms would behave as a single monopoly.	Under this oligopoly, the firms behave independently.
3.	Aim	They aim at maximising their collective profit rather than their individual profit.	The firms aim to maximising its own profits and decides how much quantity to be produced assuming that the other firms would not change their quantity supplied.

Need a full question paper?

Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.

Start Generating Free

Explore more

More "3 Marks Question" from Market Equilibrium→Market Equilibrium — all question types→Economics STD 12 Humanities & Commerce question papers→Rajasthan Board STD 12 Humanities & Commerce question papers→Rajasthan Board question paper generator→

Similar questions

At a given price there is excess demand for a good. Explain how the equilibrium price will be reached. Use diagram.

The price elasticity of supply of commodity Y is half the price elasticity of supply of commodity X. 16 percent rise in the price of X results in a 40 percent rise in its supply. If the price of y falls by 8 percent, calculate the percentage fall in its supply.

Why does an economic problem arise?###State any two causes of economic problem.###State two characteristics of the economic resources which give rise to economic problem.###hy does problem of choice arise?###Explain three factors that lead to an economic problem.

The demand for a goods falls to 500 units in response to rise in price by ₹ 10. If the original demand was 600 units at the price of ₹ 30, calculate price elasticity of demand.

A consumer consumes only two goods. Explain the conditions of consumer’s equilibrium using utility analysis.

An economy is in equilibrium. From the following data calculate autonomous consumption.

Income = 10000
Marginal propensity to save = 0.2
Investment = 1500

Distinguish between individual demand and market demand with the help of a schedule.

Explain how the demand for a good is affected by the prices of its related goods. Give examples.

If the Nominal GDP is ₹ 600 and Price Index (base = 100) is 120, calculate the Real GDP.

At a price of ₹ 50 per unit, the quantity demanded of a commodity is 1000 units. When its price falls by 10 percent, its quantity demanded rises to 1080 units. Calculate its price elasticity of demand. Is its demand inelastic? Give reasons for your answer.