What is the difference between the contestable market model and the cartel model of oligopoly?

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Microeconomics

ISBN: 9781260507140

11th Edition

Authors: David Colander

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Question Posted: Mar 14, 2024 04:00 AM

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How are the contestable market model and the cartel model of oligopoly related?
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What is the difference between the contestable market model and the cartel model of oligopoly?

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Contestable Market Model The contestable market model is a concept in industrial organization theory where the presence of potential entrants in the market prevents incumbent firms from raising prices ...View the full answer

Microeconomics

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