oligopoly

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If the cost structures are the same for each seller in an oligopoly, then the Nash equilibrium is where the price equals the [[marginal cost]], or P = MC.

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Definitions (2)

Toggle American Heritage definitions American Heritage Dictionary (1)

  1. noun A market condition in which sellers are so few that the actions of any one of them will materially affect price and have a measurable impact on competitors.

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Examples (47)

  • We learned a few lessons from Enron, AIG et al. Clearly the dangers of oligopoly are multifaceted. —  CapeCodToday Blog Chowder
  • The capital costs create a very high barrier to entry, so an oligopoly is just as bad as a monopoly. —  GigaOM
  • Thanks to Why We've Left Ourselves No Way Out: Rob Paterson links to two excellent presentations on the current crises, one an interview of Simon Johnson by Bill Moyers (with a full transcript) that shows how the old-line financial services oligopoly is robbing the US taxpayer blind, and the second —  How to Save the World
  • If you are part of the natural oligopoly, your product quality will be high and people will seek you out. —  Journalism Hope - Seeking Hope via Grassroots Journalism
  • Teachers do not qualify as working in a monopoly or oligopoly-dominated industry.
 

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