Feenstraassumes there is no collusion between domestic and foreign monopolists when a domestic monopolist enters a foreign market (that market is now a duopoly. For instance Honda charges essentially the same high prices for its cars (depending on product type) in the US as GM, Ford, and Chrysler. But he now would say the US automobile market is engaged in PERFECT competition. Perfect competition is MANY firms with IDENTICAL costs TAKING the market price (in this case the world price) and producing the SAME amount ofoutput, Large nations can affect the world price. Why do you think Feenstrais trying to prove this absurd result (Hint: it is ideological), or do you agree with him?