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Equilibrium quantities in markets characterized by oligopoly is
Lower than in monopoly markets and higher than in perfectly competitive markets.
Lower than in monopoly markets and lower than in perfectly competitive markets.
Higher than in monopoly markets and higher than in perfectly competitive markets.
Higher than in monopoly markets and lower than in perfectly competitive markets.
The classical oligopoly model considers a demand market and a set F of firms supplying a homogenous product in a noncooperative fashion. A Nash equilibrium is established when all the firms set output levels in such a way that no firm alone can increase its own profit by producing more or less products.
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